The ________ relation indicates that the interest differential between investments in two currencies will equal the forward premium or discount between the currencies

A) Fisher equation
B) interest rate parity
C) purchasing power parity
D) term structure of interest rates


B

Economics

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Refer to the table above. Which of the following statements is true about the marginal product of labor?

A) The marginal product initially decreases with the first few workers and then increases. B) The marginal product initially increases with the first few workers and then decreases. C) The marginal product decreases as more workers are hired. D) The marginal product increases as more workers are hired.

Economics

Which the following is NOT an exogenous factor affecting economic growth that countries caught in a "poverty trap" might utilize to encourage economic growth?

A) human capital B) political capital C) infrastructure D) geographical location

Economics

Which of the following statements is true?

a. Emissions-trading is trading that allows firms to buy and sell the right to pollute. b. The Coase Theorem is the proposition that private markets can rarely ever achieve social efficiency. c. The free-rider problem refers to those who ride on public transit systems without paying. d. Government failure has never occurred in the United States.

Economics

Goals of efficiency and equity in tax policy are

a. complementary in most countries. b. necessary for application of the ability-to-pay principle. c. often in conflict with each other. d. easier to achieve when tax codes are complex.

Economics