Economy, asked by nasa2701, 1 year ago

Explain the meaning of managed flexible foreign exchange rate


anita66: A flexible exchange-rate system is a monetary system that allows the exchange rate to be determined by supply and demand.[1]

Every currency area must decide what type of exchange rate arrangement to maintain. 

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Answered by Anonymous
0

Explanation:

Explain the meaning of managed flexible foreign exchange

Answered by Anonymous
1

Answer :

Managed floating exchange rate is the flexible exchange to reduce fluctuations in the rate. When foreign exchange rate is too high, the central bank starts selling the foreign currency from its reserves. When it is too low central bank starts buying foreign currency in the market.

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