Autonomous consumption refers to the level of consumption associated with a given level of income
Indicate whether the statement is true or false
F
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A firm that can borrow from a bank any amount it wishes up to a certain limit, and at any time up to a certain date, is said to have a
A) repurchase agreement. B) trade credit. C) a line of credit. D) internal financing.
Assume that the central bank increases the reserve requirement. If the nation has highly mobile international capital markets and a flexible exchange rate system, what happens to the GDP Price Index and current international transactions in the context of the Three-Sector-Model?
a. The GDP Price Index and current international transactions remain the same. b. The GDP Price Index falls, and current international transactions become more negative (or less positive). c. The GDP Price Index rises, and current international transactions becomes more negative (or less positive). d. The GDP Price Index rises, and current international transactions remain the same. e. There is not enough information to determine what happens to these two macroeconomic variables.
Which of the following is most likely to lead to an increase in the rental price of apartments near your campus?
What will be an ideal response?
What does the real exchange rate take into account that the nominal exchange rate does not?
a) The different tax rates between countries. b) The different tariffs between countries. c) The different price levels between countries. d) The different transaction costs between countries.