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Questions › UGC-NET › UGC-NET 2024 › Q83
2 marksInternational Economics › Balance of payments and exchange rates › Foreign exchange markets and instrumentsModerateabout 2 min

UGC-NET 2024 Question 83: Balance of payments and exchange rates

Match List - I with List - II: List-I: (A) Arbitrage; (B) Hedging; (C) Speculation; (D) Foreign exchange risk List-II: (I) refers to when an investor accepts and seeks Foreign exchange risk; (II) refers to a time when foreign exchange shifts, causing the spot rate to vary frequently; (III) refers to purchase of currency in a monetary centre where it is cheaper; (IV) refers to avoidance of foreign exchange risk

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Balance of payments and exchange rates has come up 120 times in 7 exams since 2007.

What this question tests

This question is on Foreign exchange markets and instruments, part of Balance of payments and exchange rates in International Economics.

Where currencies are traded and the instruments used to hedge exchange risk.

TestStop has 8 past-paper questions on this subtopic.

Take this paper as a timed mockMore on Foreign exchange markets and instruments

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