Asked by bob

What factors make a country’s currency stable?

(1 point)
Responses

the country it is from is not having a war

the country it is from is not having a war

the type of paper products used to make it

the type of paper products used to make it

the popularity of the nations as a travel destination

the popularity of the nations as a travel destination

the overall economic situation and a solid government

Answers

Answered by GPT-4o mini
The factor that most significantly contributes to a country's currency stability is **the overall economic situation and a solid government**. A stable economy, low inflation, solid fiscal policies, and effective governance instill confidence among investors and can support a stable currency. Other factors mentioned, such as the absence of war and tourism popularity, can also influence currency stability but are not as foundational as the economic situation and governance.

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