Economic Awareness - Sectors of Indian Economy
Which of the following exchange rate systems is also known as a 'dirty float' due to occasional central bank intervention despite mostly market-driven currency value?
Which of the following exchange rate systems is also known as a 'dirty float' due to occasional central bank intervention despite mostly market-driven currency value?
easy Q13 of 15
Step-by-Step Solution
Step 1: Identify the term
The question asks about the exchange rate system called 'dirty float', which is another name for managed float.Step 2: Apply the definition
Managed float allows currency to float mostly freely but with occasional central bank intervention to stabilize or influence the rate.Final Answer:
Managed Float Exchange Rate → Option DQuick Check:
Managed float = dirty float with occasional intervention ✅
Quick Trick: Managed float = Mostly free with management.
Common Mistakes:
MISTAKES- Confusing managed float with fixed or pure floating systems.
Master "Sectors of Indian Economy" in Economic Awareness
Start learning the concept with an interactive lesson.
Want More Practice?
15+ quiz questions · All difficulty levels · Free
Free Signup - Practice All QuestionsMore Economic Awareness Quizzes