Figure 17-4
In , the equilibrium price of Dominican pesos is Pe. If the Dominican Republic government fixes the price of foreign currency in terms of domestic currency at Pf (below equilibrium), what does the quantity Qd through Qs represent?
a.
the quantity of Dominican exports
b.
a shortage of foreign exchange
c.
the quantity of Dominican imports
d.
a surplus of foreign exchange
b
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According to this Application, an economist from the London School of Economics found that over ________ of all global wealth is held in tax havens where assets are ________
A) 8 percent; unrecorded B) 4 percent; unrecorded C) 4 percent; recorded D) 8 percent; recorded
For investors, commercial paper is a close substitute for
A) U.S. Treasury bills. B) U.S. Treasury bonds. C) corporate bonds. D) municipal bonds.
If the price is $60 per unit, what is the break even amount of units for technology A?
a. 50 b. 100 c. 150 d. None-They would have to shut down
An expansionary fiscal policy is likely to
A) decrease a government budget surplus (or increase a budget deficit) and increase borrowing by the Treasury which will sell more bonds. B) increase a government budget surplus (or increase a budget deficit) and decrease borrowing by the Treasury which will buy more bonds. C) increase a government budget surplus (or increase a budget deficit) and increase borrowing by the Treasury which will sell more bonds. D) decrease a government budget surplus (or increase a budget deficit) and decrease borrowing by the Treasury which will buy more bonds.