Analyze the following statement "the global financial crisis of 2008-2009 was a great illustration of how interdependent national economies are."
What will be an ideal response?
True. The global financial crisis that started in 2008, although commonly blamed on the U.S. quickly spread to all economies in the world. Although overt global policy coordination was not practiced, countries followed similar policies to escape the crisis, such as decreasing interest rates and providing funds to financial institutions to help stimulate lending.
You might also like to view...
In L. Frank Baum's classic 1900 children's book, The Wonderful Wizard of Oz, the name "oz" is a reference to
A) an ounce (oz.) of gold. B) an ounce (oz.) of silver. C) an ounce (oz.) of copper. D) an ounce (oz.) of gold or silver. E) an ounce (oz.) of wheat.
Other things the same, if the U.S. real exchange rate depreciated, then U.S. net exports would
a. fall and the quantity of dollars demanded in the market for foreign-currency exchange would fall. b. fall and the quantity of dollars demanded in the market for foreign-currency exchange would rise. c. rise and the quantity of dollars demanded in the market for foreign-currency exchange would fall. d. rise and the quantity of dollars demanded in the market for foreign-currency exchange would rise.
A country, such as Argentina in 2002, that is buying its own currency to maintain a given exchange rate
A. has a balance of payments surplus. B. has an undervalued currency. C. has an overvalued currency. D. need not fear a “run” on its currency.
According to demographers. The "demographic transition" resulting from an increase in living standards follows a pattern of:
A. Death rates falling ahead of a decline in birth rates B. Death rates falling after birth rates fall C. Death rates rising as birth rates fall D. Death rates rising as birth rates rise