In a closed economy, there should be a close positive relationship between
a. budget deficits and interest rates.
b. trade deficits and budget deficits.
c. savings and investment.
d. investment and consumption.
e. Both a and c.
E
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________ emphasize(s) that changes in prices and interest rates are the main reasons behind fluctuations in the economy
A) The real business cycle theory B) Keynesian theory C) Ricardian theory D) Monetary theories
A "single tax" on land was proposed in the nineteenth century by
a. Lloyd George. b. Henry George. c. George Washington. d. George Sands.
Discuss the consensus on the adjustment process after the crisis
What will be an ideal response?
Which exchange rate system requires an immediate response by a government to counter all market forces on exchange rates?
A. The floating exchange rate system B. The fixed exchange rate system C. The managed float exchange rate system D. The Bretton-Woods exchange rate system