Question

discuss the possible risk of us dollar peg​

Answer 1

Answer:

Risks of pegging are that a country will have its currency devalued if its anchor currency depreciates. Devaluation also increases import costs and thus increasing imported inflation. A central bank will also lack control over the value of its currency which is pegged to the value of another currency.

Explanation:

Answer 2

Explanation:

Risks of pegging are that a country will have its currency devalued if its anchor currency depreciates. Devaluation also increases import costs and thus increasing imported inflation. A central bank will also lack control over the value of its currency which is pegged to the value of another currency.