https://testbook.com/question-answer/under-perfect-capital-mobility-and-flexible-exchan--69412d6cf670b97af82d6143
The correct answer is - Have no effect on output Key Points Under perfect capital mobility and flexible exchange rate: Perfect capital mobil
flexible exchange ratecapital mobilitysolvedperfect
https://www.bankofcanada.ca/2025/09/what-is-a-flexible-exchange-rate/?mt_page=12
The flexible exchange rate is a shock absorber for the Canadian economy. Click to learn more about how it helps us adjust to external economic forces.
flexible exchange ratebankcanada