If the current account and capital account are both in surplus, the official reserve account does not have to be in deficit
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
In our modern financial system, money is created
A) only by central banks. B) only by the banking system. C) by central banks and the banking system. D) only by federal governments.
Information products (e.g., software)
A) have relatively high fixed costs but low marginal and average variable costs. B) have relatively low fixed costs but high marginal and average variable costs. C) have relatively high fixed costs and relatively high marginal and average variable costs. D) have relatively low fixed costs and relatively low marginal and average variable costs.
In principle, a cap-and-trade program would
A. lower the production costs of all firms. B. raise the production costs of all firms. C. cause firms to generate more pollution than their allowed limits. D. cause firms to generate less pollution than their allowed limits.
In terms of the stock market, systematic risk refers to the fact that
A) some stocks have higher returns than others. B) some stocks' returns have a higher variance than others. C) all stock prices are correlated with the health of the economy. D) most stock prices are perfectly negatively correlated.