Suppose a Japanese bank offers a 4 percent interest rate and U.S. banks offer a 2 percent interest rate. People must expect the yen to
A) depreciate by 2 percent.
B) appreciate by 2 percent.
C) depreciate by 6 percent.
D) appreciate by 6 percent.
A
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What explains any divergence between nominal and real GDP?
A) Constant prices B) Changing prices C) Constant output D) Changing output E) None of the above.
The above table shows some of the balance of payments accounts for Urland. What is Urland's balance on the current account?
A) $80 billion B) $62 billion C) $84 billion D) $47 billion
Economically speaking, the design of Medicare
A) encourages the consumption of medical services. B) discourages the consumption of medical services. C) helps to decrease the cost of care to non-Medicare patients. D) discourages the provision of medical services.
Policymakers are often reluctant to turn to unconventional monetary policy measures because:
A. such policies are potentially too powerful. B. such policies require Congressional approval and Congress is often slow to act. C. such policies require coordination with the central bankers of foreign countries. D. they are uncertain of the quantitative impact of using them.