What is the difference between Fixed Exchange rates and Floating Exchange rates? -SST 10th

What is the difference between Fixed Exchange rates and Floating Exchange rates? -SST 10th
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Answer :

. When exchange rates are fixed and governments intervene to prevent movements in them, it is   called fixed exchange rates. . While, when rates fluctuate depending on demand and supply of currencies in foreign exchange markets in principle without interference by governments, it is called floating or flexible exchange rates.
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Which exchange-rate system involves a “leaning against the wind” strategy in which short-term fluctuations in exchange rates are reduced without adhering to any particular exchange rate over the long run? A. Pegged or fixed exchange rates B. Adjustable pegged exchange rates C. Managed floating exchange rates D. Freely floating exchange rates

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Last Answer : C. Managed floating exchange rates

hich exchange-rate system involves a “leaning against the wind” strategy in which short-term fluctuations in exchange rates are reduced without adhering to any particular exchange rate over the long run? A. Pegged or fixed exchange rates B. Adjustable pegged exchange rates C. Managed floating exchange rates D. Freely floating exchange rates

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What is the difference between fixed exchange rate and floating exchange rate ? -SST 10th

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Last Answer : Difference table

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Last Answer : D. Crawling Pegged Exchange Rate

Which exchange-rate mechanism is intended to insulate the balance of payments from short-term capital movements while providing exchange rate stability for commercial transactions? A. Dual Exchange Rates B. Managed Floating Exchange Rates C. Adjustable Pegged Exchange Rates D. Crawling Pegged Exchange Rates

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Floating Exchange Rate is also referred to as - (1) Flexible Exchange Rate (2) Fixed Exchange Rate (3) Real Exchange Rate (4) Controlled Exchange Rate

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Last Answer : Floating exchange rate 

Floating Exchange Rate is also referred to as (1) Flexible Exchange Rate (2) Fixed Exchange Rate (3) Real Exchange Rate (4) Controlled Exchange Rate

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The collar of a floating-rate bond refers to the minimum and maximum ______. a) call periods b) maturity dates c) coupon rates d) yields to maturity

Description : The collar of a floating-rate bond refers to the minimum and maximum ______. a) call periods b) maturity dates c) coupon rates d) yields to maturity

Last Answer : c) coupon rates

If interest rates are expected to increase, the coupon payment structure most likely to benefit the issuer is a ______. a) step-up coupon b) inflation-linked coupon c) put option d) cap in a floating-rate note

Description : If interest rates are expected to increase, the coupon payment structure most likely to benefit the issuer is a ______. a) step-up coupon b) inflation-linked coupon c) put option d) cap in a floating-rate note

Last Answer : d) cap in a floating-rate note

In 1973, the reform of the international monetary system resulted in the change from: A. Adjustable pegged rates to managed floating rates B. Managed floating rates to adjustable pegged rates C. Crawling pegged rates to freely floating rates D. Freely floating rates to crawling pegged rates

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When the exchange rate is determined by the market forces of demand and supply, it is known as : a) Real exchange rate b) Nominal exchange rate c) Superfluous exchange rate d) Floating exchange rate

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Last Answer : d) Floating exchange rate

When the exchange rate is determined by the market forces of demand and supply, it is known as : a) Real exchange rate b) Nominal exchange rate c) Superfluous exchange rate d) Floating exchange rate

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During the 1970s, the European Union, in its quest for monetary union, adopted what came to be referred to as the “Community Snake” This device was a (an): A. Adjustable pegged exchange rate system B. Dual exchange rate system C. Jointly floating exchange rate system D. Freely floating exchange rate system

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Under a floating exchange-rate system, if the U.S. dollar depreciates against the Swiss franc: A. American exports to Switzerland will be cheaper in francs B. American exports to Switzerland will be more expensive in francs C. American imports from Switzerland will be cheaper in dollars D. None of the above

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Given an initial equilibrium in the money market and foreign exchange market, suppose the Federal Reserve increases the money supply of the United States. Under a floating exchange-rate system, the dollar would: A. Appreciate in value relative to other currencies B. Depreciate in value relative to other currencies C. Be officially devalued by the government D. Be officially revalued by the government

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Last Answer : B. Depreciate in value relative to other currencies

Under a floating exchange rate system, an increase in U.S. imports of Japanese goods will cause the demand schedule for Japanese yen to: A. Increase, inducing a depreciation in the yen B. Decrease, inducing a depreciation in the yen C. Increase, inducing an appreciation in the yen D. Decrease, inducing an appreciation in the yen

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Under a floating exchange-rate system, if American exports decrease and American imports rise, the value of the dollar will: A. Appreciate B. Depreciate C. Be officially revalued D. Be officially devalued

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Last Answer : B. Depreciate

Under a floating exchange-rate system, if American exports increase and American imports fall, the value of the dollar will: A. Appreciate B. Depreciate C. Be officially revalued D. Be officially devalued

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Tubes are held between top and bottom tube sheets in Calandria type evaporator by keeping (A) Both the tube sheets fixed (B) Both the tube sheets floating (C) The top tube sheet floating and bottom tube sheet fixed (D) The top tube sheet fixed and the bottom tube-sheet floating

Description : Tubes are held between top and bottom tube sheets in Calandria type evaporator by keeping (A) Both the tube sheets fixed (B) Both the tube sheets floating (C) The top tube sheet floating and bottom tube sheet fixed (D) The top tube sheet fixed and the bottom tube-sheet floating

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The first part of floating point represents a signed fixed point number called: a. Exponent b. Digit c. Number d. Mantissa

Description : The first part of floating point represents a signed fixed point number called: a. Exponent b. Digit c. Number d. Mantissa

Last Answer : d. Mantissa

Which operation with floating point numbers are more complicated then arithmetic operation with fixed point number . a. Logical operation b. Arithmetic operation c. Both d. None of these

Description : Which operation with floating point numbers are more complicated then arithmetic operation with fixed point number . a. Logical operation b. Arithmetic operation c. Both d. None of these

Last Answer : b. Arithmetic operation

Direct measurement of permeability of the specimen at any stage of loading can be made (A) Only in fixed ring type consolidometer (B) Only in floating ring type consolidometer (C) Both (A) and (B) (D) None of the above

Description : Direct measurement of permeability of the specimen at any stage of loading can be made (A) Only in fixed ring type consolidometer (B) Only in floating ring type consolidometer (C) Both (A) and (B) (D) None of the above

Last Answer : Answer: Option A

Have you seen cash exchange rates that are worse than travelers check rates?

Description : Have you seen cash exchange rates that are worse than travelers check rates?

Last Answer : Check with your bank to see if they charge an international fee for ATM use. Some banks charge this while others do not. If you are lucky enough to have a no-charge bank, this is often the cheapest ... 's cheques cost 1% as well. That said carrying large amounts of cash with you is not very safe.

Why exchange rates important?

Description : Why exchange rates important?

Last Answer : For any exchanges the rates are always involved, to decide itsparticular market value.In Foreign Currency Exchange market, exchanged products arecurrencies, so we say the rate on behalf of ... rates reflect a country's economic status,growth status, stability when compared to Another Country.

Why exchange rates important?

Description : Why exchange rates important?

Last Answer : For any exchanges the rates are always involved, to decide itsparticular market value.In Foreign Currency Exchange market, exchanged products arecurrencies, so we say the rate on behalf of ... rates reflect a country's economic status,growth status, stability when compared to Another Country.

Where can I find the currency exchange rates for Japan?

Description : Where can I find the currency exchange rates for Japan?

Last Answer : If you search currency exchange rates for Japan it will show you exactly how much it is. You can even plug in numbers and it does it right for you. There are many places you can go.

Where can I find out more about currency exchange rates?

Description : Where can I find out more about currency exchange rates?

Last Answer : Here is an online currency exchange rate converter that also has some information about the rates: http://www.xe.com/ucc/ or you can check out http://www.x-rates.com/ for another good currency site.

What are the money exchange rates around the world?

Description : What are the money exchange rates around the world?

Last Answer : Exchange rates are always fluctuating. There are many places to find out what they are at this specific time. Here is reliable website to find the current information: http://www.x-rates.com/

What are the money exchange rates in Great Britain?

Description : What are the money exchange rates in Great Britain?

Last Answer : Coinmill.com has a current money exchange calculator on their website. This calculator includes many countries currency to exchange from. The country's money to exchange from would have to be provided.

How do I get the most out of foreign exchange rates?

Description : How do I get the most out of foreign exchange rates?

Last Answer : In order to ensure that you are going to get a safe exchange rate when you go out of the country you may want to talk to your bank and possibly to a travel agent.

What is cross rate ? (A) A rate of exchange derived from central bank (B) A rate of exchange between two currencies, other than those that form a market's principal rates (C) A rate of exchange derived from the quotations for buying currencies (D) A rate of exchange quoted by a dealer in foreign exchange for selling currencies

Description : What is cross rate ? (A) A rate of exchange derived from central bank (B) A rate of exchange between two currencies, other than those that form a market's principal rates (C) A rate of ... for buying currencies (D) A rate of exchange quoted by a dealer in foreign exchange for selling currencies

Last Answer : Answer: A rate of exchange between two currencies, other than those that form a markets principal rates

The main objective of International Monetary Fund (IMF) was to A. Promote International trade B. Help economically backward countries C. Maintain stable exchange rates D. Promote international liquidity

Description : The main objective of International Monetary Fund (IMF) was to A. Promote International trade B. Help economically backward countries C. Maintain stable exchange rates D. Promote international liquidity

Last Answer : Help economically backward countries

The International Monetary Fund is important because: A. It has sufficient financial resources to deal with a major global financial crisis. B. It has sufficient financial resources to help individual countries facing balance of payments problems. C. Emerging economies can exercise significant influence on it. D. It fixes exchange rates.

Description : The International Monetary Fund is important because: A. It has sufficient financial resources to deal with a major global financial crisis. B. It has sufficient financial resources to help individual ... C. Emerging economies can exercise significant influence on it. D. It fixes exchange rates.

Last Answer : It has sufficient financial resources to help individual countries facing balance of payments problems

The ratio of foreign rates to domestic rates measured in the 'same' currency is known as:a) Real exchange rateb) Nominal exchange ratec) Superfluous exchange rated) None of the above

Description : The ratio of foreign rates to domestic rates measured in the 'same' currency is known as: a) Real exchange rate b) Nominal exchange rate c) Superfluous exchange rate d) None of the above

Last Answer : a) Real exchange rate

Exchange rates for one currency against another currency, are known as: a) Real exchange rate b) Nominal exchange rate c) Superfluous exchange rate d) None of the above

Description : Exchange rates for one currency against another currency, are known as: a) Real exchange rate b) Nominal exchange rate c) Superfluous exchange rate d) None of the above

Last Answer : b) Nominal exchange rate

Which theory is used to make long run predictions about exchange rates in a flexible exchange rate system?

Description : Which theory is used to make long run predictions about exchange rates in a flexible exchange rate system?

Last Answer : Purchasing Power Parity Theory

Which of the following is usually not one of the top considerations in choosing a manufacturing location? a. availability availability of labor and labor productivity b. productivity b. exchange rates exchange rates c. attitude attitude of governmental governmental units d. zoning regulations e. entertainment entertainment opportunities

Description : Which of the following is usually not one of the top considerations in choosing a manufacturing location? a. availability availability of labor and labor productivity b. ... attitude attitude of governmental governmental units d. zoning regulations e. entertainment entertainment opportunities

Last Answer : d. zoning regulations

Average Rate is the mean of the exchange rates in force during a period.

Description : Average Rate is the mean of the exchange rates in force during a period.

Last Answer : TRUE

A primary objective of dual exchange rates is to allow a country the ability to insulate its balance of payments from net: A. Current account transactions B. Unilateral transfers C. Merchandise trade transactions D. Capital account transactions

Description : A primary objective of dual exchange rates is to allow a country the ability to insulate its balance of payments from net: A. Current account transactions B. Unilateral transfers C. Merchandise trade transactions D. Capital account transactions

Last Answer : D. Capital account transactions

A primary objective of dual exchange rates is to allow a country the ability to insulate its balance of payments from net: A. Current account transactions B. Unilateral transfers C. Merchandise trade transactions D. Capital account transactions

Description : A primary objective of dual exchange rates is to allow a country the ability to insulate its balance of payments from net: A. Current account transactions B. Unilateral transfers C. Merchandise trade transactions D. Capital account transactions

Last Answer : D. Capital account transaction

Under a pegged exchange-rate system, which does not explain why a country would have a balance-of payments deficit? A. Very high rates of inflation occur domestically B. Foreigners discriminate against domestic products C. Technological advance is superior abroad D. The domestic currency is undervalued relative to other currencies

Description : Under a pegged exchange-rate system, which does not explain why a country would have a balance-of payments deficit? A. Very high rates of inflation occur domestically B. Foreigners ... . Technological advance is superior abroad D. The domestic currency is undervalued relative to other currencies

Last Answer : The domestic currency is undervalued relative to other currencies

Under adjustable pegged exchange rates, if the rate of inflation in the United States exceeds the rate of inflation of its trading partners: A. U.S. exports tend to rise and imports tend to fall B. U.S. imports tend to rise and exports tend to fall C. U.S. foreign exchange reserves tend to rise D. U.S. foreign exchange reserves remain constant

Description : Under adjustable pegged exchange rates, if the rate of inflation in the United States exceeds the rate of inflation of its trading partners: A. U.S. exports tend to rise and imports tend to fall ... C. U.S. foreign exchange reserves tend to rise D. U.S. foreign exchange reserves remain constant

Last Answer : B. U.S. imports tend to rise and exports tend to fall