11 To maintain a fixed exchange rate system, if the exchange rate moves below the fixed exchange rate level, then the central bank must buy foreign currency sell foreign currency from reserves raise taxes decrease government spending 11 To maintain a fixed exchange rate system, if the exchange rat...

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11. To maintain a fixed-exchange-rate system, if the exchange rate moves below the fixed-exchange-rate level, then...

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International Economics Theory and Policy

ISBN: 978-0273754206

9th Edition

Authors: Paul R. Krugman, Maurice Obstfeld, Marc J. Melitz

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