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Question :  _________ is a hybrid system where exchange rate is allowed to float in a managed manner with the control of central bank.

Option 1: Flexible exchange rate
 

Option 2: Managed floating exchange rate
 

Option 3: Fixed exchange rate

 

Option 4: Adjustable peg system


Team Careers360 13th Jan, 2024
Answer (1)
Team Careers360 18th Jan, 2024

Correct Answer: Managed floating exchange rate


Solution : The correct answer is (b) Managed floating exchange rate

In a managed floating exchange rate system, the exchange rate is determined by market forces of supply and demand, but the central bank intervenes occasionally

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