Under the current managed float exchange rate regime; countries with surpluses in their balance of payments frequently do not want to see their currencies appreciate because it makes their goods expensive abroad and foreign goods in their countries.

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08-12-2021
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Under the current managed float exchange rate regime; countries with surpluses in their balance of payments frequently do not want to see their currencies appreciate because it makes their goods expensive abroad and foreign goods in their countries.

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Tundexi Tundexi · Answer 1 · 2021-12-20T09:29:50+01:00

The country will not want their currencies to appreciate because it makes their goods expensive abroad and foreign goods be cheaper in their countries.

The floating exchange rate system is a system where currency price on forex market is based on supply and demand of other currencies therein.

Countries with surpluses in their balance of payments usually have a favorable currency because they exports more than it imports.

Hence, the country will not want to see their currencies appreciate because it makes their goods expensive abroad and foreign goods be cheaper in their countries.

Read more about floating exchange rate

brainly.com/question/25813005

Under the current managed float exchange rate regime; countries with surpluses in their balance of payments frequently do not want to see their currencies appreciate because it makes their goods ________ expensive abroad and foreign goods ________ in their countries.

Respuesta :

Otras preguntas

Under the current managed float exchange rate regime; countries with surpluses in their balance of payments frequently do not want to see their currencies appreciate because it makes their goods expensive abroad and foreign goods in their countries.