Question

The main objective of a sound monetary standard is : (1) To maintain stability in the currency's internal value (2) To maintain stability in the currency's external value (3) To maintain stability in the currency's internal and external value (4) None of the three​

Answer 1

Answer:

"The main objective of a sound monetary standard is (3) to maintain stability in the currency's internal and external value.

Explanation:

Nations adhere to a sound monetary standard because:

•        It is instrumental in maintaining price stability (to avoid prolonged inflation and deflation) along with general trust of people in the currency.

•        It aims to contribute towards stable gross domestic product (GDP) and maintain a predictable exchange rates with different currencies.

Answer 2

Answer:

3rd answer is correct ...

Explanation:

The primary objective of a sound monetary standard is to maintain price stability. This is done both internally and externally so as to avoid prolonged inflation in a country.