fixed exchange rate
1
5.4
- noun
- /fɪkst ɪksˈtʃeɪndʒ reɪt/
- Specialized
:
tipo de cambio fijo
- Between now and 1994, EMU was to strengthen the fixed-exchange-rate parity of currencies through the exchange-rate mechanism.
- fixed exchange rate regime
- fixed exchange rates among currencies
- maintain a fixed exchange rate
OK, Now most of the times fixed exchange rates are are are a little weaker than that.
- OK, Now most of the times fixed exchange rates are are are a little weaker than that.
Examples
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The gold standard provided a reasonably fixed exchange rate that facilitated international movements of financial capital.
Academic text (2002) -
But in the 1970s, the rest of the world started to catch up and needed increased money supply, so the system of fixed exchange rates around the dollar was gutted.
-
Is a Euro exit and the fixed exchange rate therefore a possible solution?
Blog text (6) -
Under fixed exchange rates, domestic policy goals are at times incompatible with external balance.
Academic text (1990) -
The lesson of the 1920s is that rigidly fixed exchange rates are dangerous.
Academic text (2011) -
The main lesson drawn is that fixed exchange rate regimes are very difficult to maintain when capital is internationally mobile.
Academic text (2003) -
Finally, it is not true that fixed exchange rates would bring Europe closer to monetary unification.
Academic text (1990) -
Central banks have learned to be wary of making promises—especially about fixed exchange rates—that they cannot keep.
Academic text (2002) -
Over the past five years, financial turmoil has shattered the semi-fixed exchange-rate regimes that much of the developing world once favored.
Academic text (1999) -
Countries that adopt a fixed exchange rate may provide greater stability for international trade by eliminating currency fluctuations.
Synonyms
A system that fixes a country's money value to another country's money
Antonyms
- Specialized
1
5.2
A system where a currency's value changes because of buying and selling in the market, not set by the government
How Fixed
- Specialized
1
5.4
- Specialized
- Specialized
1
5.2
Surface Forms
Morphology
The phrase is fully compositional: 'exchange rate' denotes the price for exchanging currencies and 'fixed' indicates it is set or unchanging. A B1 learner who knows these constituents can readily infer it means an exchange rate that is maintained at a set level, even if they might not grasp institutional details about how it is fixed.
Etymology
Fixed exchange rate comes from the image of a country's money being fixed like a price tag nailed to another currency or to gold, so it cannot move. That's why it means a system where the government 'sets' and 'keeps' the value of its money at a specific level.