________ policy changes are made through the legislative process, while ________ policy changes are made by the Federal Open Market Committee.
A. monetary; fiscal
B. monetary; international
C. fiscal; monetary
D. fiscal; international
Answer: C
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An increase in the value of a country's currency is known as ________
A) a spot exchange rate B) a depreciation of its value C) an appreciation of its value D) a backward exchange rate
Which government undertook significant infrastructure projects in the mid-1990s to improve roads and public works, which in turn increased the stock of physical capital and ultimately economic growth?
a. South Korea b. the United States c. Japan d. China
When a country abandons a no-trade policy, adopts a free-trade policy, and becomes an exporter of a particular good,
a. producer surplus increases and total surplus increases in the market for that good. b. producer surplus increases and total surplus decreases in the market for that good. c. producer surplus decreases and total surplus increases in the market for that good. d. producer surplus decreases and total surplus decreases in the market for that good.
When hedging with options, what is the cost to enter into your hedging position?
A. The basis. B. The maintenance margin. C. The strike price. D. The option premium.