On your first day at work, your boss tells you to call the bank and get the bid and the ask for British pounds. Having just returned from studying in London, you know that the exchange rate should be somewhere around 1.25
You call the number and the lady says "579 and 585." What does that mean? A) She didn't understand your question.
B) The bid is 0.579 and the ask is 0.585.
C) The ask is 0.579 and the bid is 0.585
D) The bid is 1.2579 and the ask is 1.2585.
D
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If the nominal exchange rate were to be expressed as the number of units of domestic currency per unit of foreign currency, and that rate decreases, then the domestic currency has:
A. become overvalued. B. become undervalued. C. appreciated. D. depreciated.
Explain how the following apparently contradictory statement can be true: Most spells of unemployment are short, and most unemployment observed at any given time is long-term
Which of the following examples shows inelasticity?
a. When the price of diamonds increases 8 percent, the quantity demanded decreases 20 percent. b. When the price of avocados increases 3 percent, the quantity demanded decreases 4 percent. c. When the price of camcorders increases 10 percent, the quantity demanded decreases 5 percent. d. When the price of bicycles increases 5 percent, the quantity demanded decreases 8 percent.
To say that "the U.S. public debt is mostly held internally" is to say that:
A. only interest payments on the public debt are an economic burden. B. official figures understate the size of the public debt. C. the bulk of the public debt is owned by U.S. citizens and institutions. D. the public debt is equal to the land and building assets owned by the federal government.