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When does managed floating system become...

When does managed floating system become dirty floating?

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Under the system of managed floating, floating of exchange rate is managed by the monetary authority of the country by following some rules and regulations (Guidelines for the management of floating exchange rates).
If the floating exchange rates are managed without observing any rules and regulations, it becomes dirty floating.
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Knowledge Check

  • The floating ribs are

    A
    11 and 12
    B
    9 and 10
    C
    7 and 8
    D
    1 and 2.
  • Ice floats on water because

    A
    its density is less than that of water
    B
    crystal structure of ice has empty space
    C
    Both (a) and (b)
    D
    None of the above
  • Managed floating exchange rate is influenced by

    A
    Government
    B
    Central bank
    C
    Commercial banks
    D
    Exchange market
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