Which of the following statements is true?
a. Private international foreign exchange transactions affect the monetary base.
b. Both private foreign exchange transactions and central bank interventions in the foreign exchange market affect the monetary base.
c. Neither private foreign exchange transactions nor central bank interventions in the foreign exchange market affect the monetary base.
d. Central bank interventions in the foreign exchange market affect the monetary base.
.D
You might also like to view...
Total profit is maximized when marginal profit maximized.
Answer the following statement true (T) or false (F)
Social disapproval is likely to be more effective:
A. in a small town than a large city. B. in solving a free rider problem than a tragedy of the commons problem. C. than taxation. D. when community members have only spurious relationships with others in the area.
The expected marginal benefit to you from purchasing a new sport utility vehicle is $20,000 . The price of the new sport utility vehicle is $22,000. a. If you are acting rationally, you will borrow $2,000 and purchase a new sport utility vehicle
b. You will not purchase the new sport utility vehicle at this time if you are acting rationally. c. If you do not purchase the new sport utility vehicle, your net loss will be $2,000. d. If you are acting rationally, you will purchase sport utility vehicles until the marginal cost of doing so falls to $20,000.
Suppose that the Anytown city government asks private citizens to donate money to support the town's annual holiday lighting display. Assuming that the citizens of Anytown enjoy the lighting display, the request for donations suggests that:
A. the display creates negative externalities. B. government should tax the producers of holiday lighting. C. resources are currently overallocated to the provision of holiday lighting in Anytown. D. resources are currently underallocated to the provision of holiday lighting in Anytown.