For a Floating Currency System to Be Effective

For a floating currency system to be effective:

A) the currency markets must be subject to significant regulation and the central bank must be willing to take action when predetermined indicators suggest action is necessary.
B) the currency market must be diversified and must not be dominated by any specific currency.
C) there must be effective market and monetary infrastructures and the currency market must be large and liquid.
D) the central bank of the nation must have cooperative agreements with the central banks of other nations that allow those other central banks to take actions to stabilize the subject currency.

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