A U.S. bank wants to buy euros in order to buy German bonds. In the open-economy macroeconomic model, this transaction would be part of

a. the supply of currency in the foreign exchange market, and part of the supply of loanable funds.
b. the demand for currency in the foreign exchange market, and part of the supply of loanable funds.
c. the supply of currency in the foreign exchange market, and part of the demand for loanable funds.
d. the demand for currency in the foreign exchange market, and part of the demand for loanable funds.


c

Economics

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The tax incidence on buyers is higher if ________

A) the buyers and sellers of a good are equally sensitive to price changes B) the elasticity of the market demand curve is higher than the elasticity of the market supply curve C) the elasticity of the market supply curve is higher than the elasticity of the market demand curve D) the number of sellers in a market is larger than the number of buyers

Economics

If land suitable for growing corn is also suitable for growing soybeans, and soybeans were found to prevent cancer,

A) the demand for corn would decrease. B) there would be no effect on the cost of growing corn. C) the supply (curve) of soybeans would increase. D) the cost of growing corn would rise. E) the cost of growing corn would fall.

Economics

The exogenous variable in the monetary policy curve is ________

A) the policy parameter, ? B) the real interest rate C) the autonomous component, D) the federal funds rate E) the inflation rate

Economics

If the supply of steel is perfectly elastic, then an increase in the demand for steel will

A. increase the price of steel but have no effect on quantity supplied. B. increase the quantity of steel supplies but have no effect on the price. C. have no effect on the price or the quantity supplied. D. decrease total revenue taken in by steel producers.

Economics