General Knowledge - Indian Economy - Discussion

Discussion Forum : Indian Economy - Indian Economy (Q.No. 6)
6.

Devaluation of a currency means

reduction in the value of a currency vis-a-vis major internationally traded currencies
permitting the currency to seek its worth in the international market
fixing the value of the currency in conjunction with the movement in the value of a basket of pre-determined currencies
fixing the value of currency in multilateral consultation with the IMF, the World Bank and major trading partners
Answer: Option
Explanation:
No answer description is available. Let's discuss.
Discussion:
32 comments Page 2 of 4.

BHAT said:   1 decade ago
In reality devaluation refers when domestic currency of a country reduces or is been reduced in relation to other currency.

Mang Naulak Paite said:   1 decade ago
The Government adopted Devaluation policy in order to attract and encourage import of goods from foreign Countries.

Minakshi said:   9 years ago
IMF is international monetary fund that means all international trading is done by that currency. Ex, dollar.

Sunil prusty said:   9 years ago
It means the purchasing power of money in the international market is lower than there currencies value.

Soumya said:   1 decade ago
How one country devaluate its currency? And does devaluation of currency is an effect of inflation?

Sri Ram said:   1 decade ago
Yes of course it is devalued with respect to other currencies particularly dollar or euro or pound.

Shashank said:   1 decade ago
How does the value of money gets devaluated?

What are the drawbacks if we do not devaluate money?

Srik said:   1 decade ago
Devaluation is different the depreciation/appreciation of currency, so the option is wrong to me.

Rubina said:   1 decade ago
Can anybody explain me, What is the difference between devaluation, deflation and depreciation?

Aman yadav said:   1 decade ago
Sir please tell me what is the effect on export and import of the depreciation or devaluation?


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