CFA Practice Question

There are 253 practice questions for this study session.

CFA Practice Question

Which statement is true regarding the effectiveness of central bank intervention?

A. Central bank intervention can be very effective in developed countries due to their well-developed financial markets.
B. Some studies find that compared to their developed country counterparts, EM policymakers can exert a bigger influence on the level and path of their exchange rates.
C. A study by Magud, Reinhard and Rogoff concludes that capital controls on inflows make monetary policy more dependent on a country's FX policy.
Correct Answer: B.

User Contributed Comments 0

You need to log in first to add your comment.