A system where countries stabilize their exchange rate around par value they retain the right to change. Under this system a country undertakes to intervene in the foreign exchange market to keep its currency within some margin, for example 1 per cent, of some given exchange rate parity, the ‘peg’. The country retains the right to adjust the parity, however, that is to move the peg. This was more or less the case under the Bretton Woods system in the 1950s and 1960s. This system provides opportunities for speculator at times when it appears that the peg is going to have to move, but it has not yet done so.

• taxable income
• tax allowance
• tax assessment
• taxation
• tax avoidance
• tax base
• tax-based incomes policy
• tax burden
• tax credit
• tax evasion
• tax exempt special savings account
• tax expenditure
• tax haven
• tax holiday
• Tax Reform Act 1986
• tax refund
• tax return
• tax shelter
• tax wedge
• technical efficiency
• technical progress
• technical standard
• technical substitution
• techniques, choice of
• technological unemployment