A flexible exchange rate is one that _______. it works _______.

What is a flexible exchange rate and how does it work? A flexible exchange rate is one that It works O A. is determined by de


The answer is option b- is determined by demand and supply in the foreign exchange market with no direct intervention by the central bank

Flexible exchange rates are those whose value is dictated by global currency supply and demand. In other words, they are market-determined foreign exchange rates that fluctuate rapidly due to supply and demand and are not pegged or controlled by central banks.

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