Economics 9708 · AS & A Level · 6.4

6.4 — practice question

A nation chooses to become part of a group of countries that uphold fixed exchange parities for their currencies and disallow any limits on foreign trade and payments. What will the country need to give up in order to keep a fixed parity for its currency?

  • Aan independent anti-monopoly policy
  • Ban independent fiscal policy
  • Can independent interest rate policy
  • Dan independent prices and incomes policy

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