题目内容
Critics of a floating exchange rate regime argue that speculation can bring stability to exchange rates.
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According to critics of a fixed exchange rate regime, if a country is running a trade deficit, the imbalance between the supply and demand of that country’s currency in the foreign exchange market will be corrected by domestic policy.
Under ERM, each national currency in the EC is given a “central rate” vis-à-vis the ECU.
The forward market and swaps are examples of instruments that businesses can use to insure against foreign exchange risks.
To build strategic flexibility is one way to respond to the volatility of the present floating exchange rate regime.
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