One of the main purposes of the 1947 General Agreement on Tariffs and Trade was to
a. repudiate the most-favored-nation principle.
b. encourage bilateral trade agreements between nations.
c. promote free trade among nations.
d. replace the use of import quotas with tariffs.
c. promote free trade among nations.
You might also like to view...
Federal funds market rate is: a. the rate at which central bank provides funds to commercial banks
b. the rate charged by banks on loans to the public. c. the rate charged on loans from one bank to another provided to meet reserve requirement. d. higher than the discount rate.
The problem of moral hazard exists when:
A. a bank is solvent but many of its assets are illiquid. B. agencies like the Fed act based on politics rather than sound economics. C. the failure of one financial institution can lead to the failure of other institutions. D. people or institutions, who are insured, tend to take on too much risk.
In the textbook model, wealth is held in two forms: money and in bond funds. Which of the following statements are true?
I. Money and bond funds earn the same interest rates in a well functioning money market. II. Money is a more liquid asset compared to bond funds. III. Bond funds are interest earning assets while money generally is not. IV. The difference between the interest rates paid on money deposits and the interest return available from bonds is the cost of holding money. A) I, II, and IV B) I and IV C) II, III, and IV D) III and IV
A factor of production that has been produced for use in the production of other goods and services is:
A) labor. B) money. C) capital. D) natural resources.