Must the adoption of a flexible exchange rate mean that the rate will actually vary considerably over

Question:

Must the adoption of a flexible exchange rate mean that the rate will actually vary considerably over time? Why or why not?
Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

International Economics

ISBN: 9780078021671

8th Edition

Authors: Dennis Appleyard, Alfred Field

Question Posted: