When faced with a sudden shock to its economy, a country can opt to implement a dual or multiple foreign exchange rate system. With this type of system, a country has more than one rate at which ...

This system introduced partial convertibility of rupee. Under this system, a dual exchange rate was fixed under which 40 per cent of foreign exchange earnings were to be surrendered at the ...

A PERENNIAL question in international economics—whether in academia or in policy circles—concerns the optimal choice of exchange rate regime. After the breakdown of the Bretton Woods system in the ...