Small nations with more than one major trading partner tend to peg the value of their currencies to ?

Related Mcqs:

1. Small nations whose trade and financial relationships are mainly with a single partner tend to utilize ?

   A. pegged exchange rates
   B. freely floating exchange rates
   C. managed floating exchange rates
   D. crawling exchange rates

2. Assume identical interest rates on comparable securities in the United States and foreign countries. Suppose investors anticipate that in the future the U.S dollar will depreciate against foreign currencies. investment funds would tend to ?

   A. flow from the United States to foreign countries
   B. flow from foreign countries to the United States
   C. remain totally in foreign countries
   D. remain totally in the United States

3. A country can still gain from trading certain goods even though its trading partners can produce those goods more cheaply. How is known this principle ?

   A. Relative Advantage
   B. Complete Advantage
   C. Comparative Edge
   D. Comparative Advantage

4. A country can still gain from trading certain goods even though its trading partners can produce those goods more cheaply. How is known this principle?

   A. Relative Advantage
   B. Complete Advantage
   C. Comparative Edge
   D. Comparative Advantage

5. To help developing nations strengthen their international competitiveness many industrial nations have granted non-reciprocal tariff reductions to developing nations under the ?

   A. international commodity agreements program
   B. multilateral contract program
   C. generalized system of preferences program
   D. export-led growth program

6. Name the money of county that is expected to drop in value relative to other currencies?

   A. Local currency
   B. Cold currency
   C. Lime currency
   D. Soft currency

7. Term a country’s decision to tie the value of its currency to another country’s currency gold or a basket of currencies ?

   A. Pagged exchanged rate
   B. Fixed exchange rate
   C. Relative exchange rate
   D. Knotted exchange rate

8. Which of the following is a form of international reserve assets, created by IMF in 1967 whose value is based on a portfolio of widely used currencies ?

   A. Special Drawing Right (SDR)
   B. IMF Drawing Rights (SDR)
   C. International Drawing Right (IDR)
   D. Sure, Drawing Rights (SDR)

9. Currency that is expected to drop in value relative to other currencies is called ?

   A. Local currency
   B. Cold currency
   C. Lime currency
   D. Soft currency

10. If currency dealers expect the value of the pound to fall, the exchange value will tend to ?

    A. depreciate
    B. not be affected
    C. fluctuate more than it would do therwise
    D. appreciate