Which type of exchange rate system is designed to protect the balance of payments from short-term capital flows while maintaining exchange rate stability for trade and business activities?

Explanation

The dual exchange rate system aims to shield the balance of payments from volatile short-term capital movements by using separate rates for commercial transactions and capital flows, thus ensuring exchange rate stability for trade. Other systems like managed floating, adjustable peg, and crawling peg focus on varying degrees of exchange rate flexibility but do not specifically separate rates to protect the balance of payments in this manner.