Pegging a country's exchange rate to the dollar can be advantageous in all of the following situations except
A) if investors believe the dollar to be more stable than the domestic country's currency.
B) if a country wishes to conduct independent monetary policy.
C) if imports are a significant fraction of the goods the country's consumers buy.
D) if the country has extensive trade with the United States.
B
You might also like to view...
If the price of a product increases, the demand for the resource used in producing that product decreases
a. True b. False Indicate whether the statement is true or false
The city of Burgersville has 100 restaurants specializing in hamburgers. Each one tries to do its own special take on the hamburger, as well as having its own decorative and advertising styles. This ______________ creates monopolistic competition.
a. distinctiveness b. similarity c. imperfectly competitive market d. perfectly competitive market
Which area has the highest rate of inflation over the years of 2007-2011?
a. Atlanta b. Pittsburgh c. Miami d. Dallas
Foreign direct investment that takes the form of a new startup facility is called:
a. acquisition FDI. b. greenfield FDI. c. intermediary FDI. d. brownfield FDI.