Question : When value of a currency is fixed in terms of some other currency or in terms of gold, it is known as 
 

Option 1: Pegging
 

Option 2: Parity value
 

Option 3: Speculative
 

Option 4: None of the above.
 

Question : When value of domestic currency is tied to the value of another currency, it is known as 
 

Option 1: Pegging
 

Option 2: Parity value
 

Option 3: Speculative
 

Option 4: None of the above.
 

Question : The real exchange rate is a measure of:

Option 1: Purchasing power of one currency relative to another.
 

Option 2: Exchange rate fluctuations in the short term.
 

Option 3: The value of a currency in terms of gold.

Option 4: Speculative movements in the foreign exchange market.

Question : When domestic currency gains value in relation to a foreign currency in the international market, it is termed as a situation of:

Option 1: Currency Depreciation
 

Option 2: Currency Appreciation
 

Option 3: Currency Devaluation

Option 4: None

Question : What term is used to describe the situation when a country's currency value is fixed to another currency or a basket of currencies?

Option 1: Floating exchange rate.
 

Option 2: Managed float system.
  

Option 3: Fixed exchange rate.

Option 4: Pegged exchange rate.