Which of the following statements are true about soft exchange rate pegs?

A. They can be adjusted by government intervention.
B. They allow for limited flexibility in response to economic changes.
C. They can help provide stability to an economy.
D. They are fixed to a specific value or range.



Answer :

Final answer:

Soft exchange rate pegs can be adjusted by government intervention, providing flexibility in response to economic changes and contributing to economic stability.


Explanation:

Soft exchange rate pegs can be adjusted by government intervention, allowing a certain level of flexibility in response to economic changes. They can help provide stability to an economy by influencing the exchange rate when necessary.


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