When deciding where to produce, a key decision criterion for a multinational enterprise
A) is the nationality of its founders.
B) hinges on the ownership of its various subsidiaries.
C) is the tax laws of the various countries is it considering.
D) is the location of its headquarters.
C
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Factors that cause a decrease in the demand for credit at a given real interest rate cause:
A) the credit demand curve to shift to the right. B) an upward movement along the credit demand curve. C) the credit demand curve to shift to the left. D) a downward movement along the credit demand curve.
Savings accounts, certificates of deposit, and bonds pay interest and stocks pay dividends. Why does anyone hold on to currency or other forms of money and lose this extra income?
What will be an ideal response?
Crawling pegs
A) are anti-inflationary because they require monetary discipline. B) are designed to stabilize real exchange rates when domestic inflation is less than inflation in other nations. C) reduce a nation's vulnerability to financial crises. D) lead to undervaluation of the domestic currency.
The Social Security program is like a private pension plan in that _____
a. it is a pay-as-you-go system b. it is voluntary c. benefits are a function of earlier contributions d. you have a legal right to your benefits