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Essay

Floating Exchange Rates: The Only Viable Solution

Essay specific features

 

Issue:

Business

 

Written by:

Pauline B

 

Date added:

December 7, 2011

 

Level:

University

 

Grade:

B

 

No of pages / words:

10 / 2675

 

Was viewed:

672 times

 

Rating of current essay:

 
Essay content:

Yet others believe monetary unification in Europe is the only way to achieve economic and political stability. Many others hold still different beliefs. There are, however, four main proposals for the management of international currency exchange rates: monetary unification, fixed rates, floating rates maintained within certain "reasonable" limits of variability and freely floating rates...
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Both fixed exchange rates and rates based on either explicit or unwritten targeting are impossible to maintain, especially in an era of free trade. Complete monetary unification would be impossible to bring about without extensive integration and unification of international governments and economies, a task so vast that it is unlikely ever to be accomplished...
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