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Central banks attempt to stabilize exchange rates using foreign–exchange interventions because    A.   interest–rate adjustments may...

Central banks attempt to stabilize exchange rates using foreign–exchange interventions because
  
A.   interest–rate adjustments may have undesirable effects on output.
B.   interest–rate adjustments have questionable effectiveness for stabilizing exchange rates.
C.   interest–rate adjustments stop international capital flows.
D.   interest–rate adjustments only work when coordinated with other countries.

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D..e.g if A wants to appreciate currency and thus increases interest rate, the policy may fail if interest rates rise in other countries

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