discuss the criteria for a lsquogoodrsquo, Financial Management

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discuss the criteria for a lsquogoodrsquo

Discuss the criteria for a ‘good’ international monetary system.

Answer: A good international monetary system must offer

(i) sufficient liquidity to the world economy,

(ii) smooth adjustments to BOP disequilibrium since it arises, and

(iii) safeguard in opposition to the crisis of confidence in the system.

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