Central banks sometimes try to effect the exchange rates by


Central banks sometimes try to effect the exchange rates by intervening in financial markets.

(1) Why do they want to influence exchange rates?

(2) Does the Fed intervene more or less than other countries, say Japan or China, in an effort to influence exchange rates? Explain.

(3) Does the central bank in the country of Nigeria intervene?

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Finance Basics: Central banks sometimes try to effect the exchange rates by
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