Which of the following statements is true? a. World trade has expanded under flexible exchange rates. b.
Question:
Which of the following statements is true?
a. World trade has expanded under flexible exchange rates.
b. An increased exchange value of the U.S. dollar would tend to reduce American net exports.
c. Under fixed exchange rates, rates change less frequently but by larger amounts than under flexible exchange rates.
d. Currency shortages can arise under fixed exchange rates, but not under flexible exchange rates.
e. All of these are true.
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