All of the following accurately describes China's currency peg EXCEPT
A) pegging against the dollar ensured that Chinese exporters faced stable prices on exports to the U.S.
B) some U.S. firms complained that the peg gave Chinese firms an unfair advantage over U.S. firms.
C) the Chinese currency was allowed to depreciate moderately in the years preceding the financial crisis.
D) many economists argued that the Chinese currency was undervalued.
C
You might also like to view...
An increase in the price of the good measured on the vertical axis of a budget line diagram will
a. cause a parallel outward shift of the budget line b. leave the budget line unchanged c. cause a parallel inward shift of the budget line d. make the budget line flatter e. make the budget line steeper
Over time, foreign investment is credited with the greatest contribution to economic growth in the United States.
Answer the following statement true (T) or false (F)
Comparing GDP across countries is unrealistic unless we make adjustment in exchange rates to take into account differences in the cost of living via
A. real GDP. B. price index. C. international GDP. D. purchasing power parity.
Give a definition of technological advance. What role does time play in the definition according to economists?
What will be an ideal response?