If a country wants to keep the value of its currency fixed, then its central bank should

A. sell its domestic currency when there is an increase in the supply of that currency.
B. buy domestic goods when there is an increase in the supply of its domestic currency.
C. buy its domestic currency when there is an increase in the supply of that currency.
D. sell domestic goods when there is an increase in the supply of its domestic currency.

Answer: C

Economics

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