Domestic monetary policy is essentially useless under
a. a floating exchange rate system.
b. a fixed exchange rate system.
c. the gold standard.
d. conditions of balance of payments surpluses.
c
You might also like to view...
As capital deepening occurs, there will be increased real wages and economic growth
Indicate whether the statement is true or false
Rent seeking
A) is the act of obtaining special treatment by the government to create economic profit. B) is the attempt to get rent from tardy renters. C) occurs when landlords advertise for apartments and other property for rent. D) is an attempt to sell a property and capture economic profit. E) occurs when a firm charges different prices for different units of its good or service.
When there is an excess quantity demanded of a product at the current price, then: a. the price will tend to fall
b. the price will tend to rise. c. the price must be above the equilibrium price. d. producers will reduce output and sales will fall.
Command economies are able to achieve greater allocative efficiency than market economies
a. True b. False Indicate whether the statement is true or false