Question

The system of adjustable parities allowed for the devaluation of a countrys currency by more than 10 percent if the International Monetary Fund (IMF) agreed that a:

A. country was in a trade surplus with the other member countries.

B. countrys balance of payments was in "fundamental disequilibrium."

C. country had achieved balance-of-trade equilibrium.

D. countrys imports were lower than its exports.

E. country was facing price inflation.

Answer

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