Currency manipulation can make a country's currency a safer investment for international investors. When a small economy stabilizes its exchange rate compared to a larger economy, it can increase domestic capital accumulation, wages, and world wealth. Small countries tend to stabilize their exchange rates relative to the largest economy, which becomes the world's "anchor currency". Larger economies, on the other hand, choose to let their exchange rates float. This leads to a pattern of exchange rate arrangements similar to what is observed in real-world data.