Monetary policy directed at expanding GDP growth would include the following?
A. Selling bonds and increasing the discount rate
B. Buying bonds and increasing the discount rate
C. Decreasing the discount rate and increasing the reserve requirement
D. Decreasing the discount rate and buying bonds
D. Decreasing the discount rate and buying bonds
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Holding other factors constant, if a tax increase moves the government budget from deficit to surplus, then the real interest rate will ________ and the equilibrium quantity of national saving and investment will ________.
A. decrease; decrease B. increase; increase C. decrease; increase D. increase; not change
If Mexicans increasingly lose confidence in their domestic financial markets and move their assets to other countries, the peso will depreciate
Indicate whether the statement is true or false
Hudson Manufacturing is an MNE based in the United States with operations in Asia. The firm is considering expansion into the European Union. Executives at the firm are debating whether central Europe or Eastern Europe would be best for the firm. Which of the following best supports a decision to establish operations in Eastern Europe?
A) Hudson wants to implement a high-performance work system. B) Hudson plans to staff the foreign facility with local managers. C) Hudson wants to minimize costs by keeping wages low. D) Hudson recently lost money in a joint venture.
Refer to the above graph. Which of the following statements about combination G is true?
The nation cannot produce combination D. The nation would prefer to be at combination F than at combination G The nation can currently produce combination G. The nation cannot produce combination G because of insufficient resources and technology