Financial capital flows could include
A) real estate purchases.
B) construction of factories.
C) sales of a business.
D) the purchase of the physical assets and operations of a multinational corporation by another.
E) currency market transactions.
E
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List and discuss the four economic functions that depository institutions provide their customers
What will be an ideal response?
Assuming no change in the nominal exchange rate, how will a higher rate of inflation in the United States relative to France affect the real exchange rate between the two countries? (Assume the United States is the "domestic" country.)
A) The real exchange rate will rise. B) The real exchange rate will be unaffected. C) The real exchange rate will fall. D) The impact on the real exchange rate cannot be predicted.
With an optimal two-part tariff
A) all consumer surplus is transformed into profit. B) consumer surplus equals producer surplus. C) the firm earns zero profit. D) consumers maximize consumer surplus.
Migration from poor to rich countries hurts poor countries through
a. loss of educated individuals b. residents sending money abroad to migrants c. tightening job markets at home d. opening executive jobs to workers from developed countries e. all of the above