Market forces of demand and supply, actively interact under _________ exchange rate system to determine the foreign exch…
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Market forces of demand and supply, actively interact under _________ exchange rate system to determine the foreign exchange rate.
(Choose the correct option to fill in the blank)
✓ Correct answer: b)
flexible
Explanation
A flexible exchange rate system, also known as a floating exchange rate, is determined solely by the market forces of demand and supply for foreign exchange.
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