independent float regime
An independent float regime refers to a monetary system in which the value of a currency is determined by market forces of supply and demand, rather than being pegged or fixed to another currency or commodity. In this regime, the central bank allows the exchange rate to fluctuate freely, without intervention or manipulation, allowing it to reflect the true value of the currency in relation to other currencies.
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Related Concepts (1)
Similar Concepts
- central bank independence
- currency board regime
- economic independence
- exchange rate regime
- fixed exchange rate regime
- floating exchange rate regime
- floating-for-fixed swaps
- free float regime
- hybrid exchange rate regime
- independence
- independent agency
- independent living
- managed float regime
- regime shifts
- soft peg regime