A nation's country-risk premium increases if:
a. Central bank policies become more predictable.
b. Expected inflation becomes harder to predict.
c. Its government becomes more stable.
d. All of the above.
e. None of the above
.B
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If price is initially above the equilibrium level,
A) the supply curve will shift rightward. B) the supply curve will shift leftward. C) excess supply exists. D) all firms can sell as much as they want.
Pat's total utility after eating 99 Reese's Peanut Butter Cups was greater than his total utility after eating 100 Reese's Peanut Butter Cups. Therefore, Pat's marginal utility from the 100th peanut butter cup was:
A. positive, but less than one. B. zero. C. positive, but less than his marginal utility for the 99th peanut butter cup. D. negative.
Cross-price elasticity of demand would measure which of the following examples?
a. the effect a decrease in the price of marshmallows has on the supply of butter b. the effect an increase in the price of soap has on the sale of this product c. the effect an increase in the price of printers has on the sale of print cartridges d. the effect a decrease in the price of pillows has on the sale of this product
Which of the following will lead to a depreciation of the U.S. dollar against the British pound?
A. an increase in British demand for U.S. imports B. a decrease in British demand for U.S. assets C. a decrease in U.S. demand for British goods D. an increase in U.S. interest rates