Which of the following is true?
a. When real interest rates are lower in country A than country B there will tend to be a capital flow from country B to country A.
b. Capital flows tend to move real interest rates in different countries toward equality
c. Capital flows will tend to decrease real interest rates in countries with a capital outflow.
d. Both b. and c. are correct.
b
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Each step up the education ladder improves the incomes of white males but not of black males
Indicate whether the statement is true or false
To say an asset is liquid implies that:
A. we are focusing on a category of assets that are in a physically liquid form, like oil. B. we are considering any asset that can be sold. C. we are only considering U.S. currency. D. we are considering assets that may be readily converted into a means of payment.
If the graph shown represents Steph's budget constraint, and the price of hairbands were to increase, the slope of Steph's budget constraint would become:
A. steeper, reflecting the fact that earrings are now relatively less expensive. B. steeper, reflecting the fact that hairbands are now relatively less expensive. C. flatter, reflecting the fact that earrings are now relatively more expensive. D. flatter, reflecting the fact that hairbands are now relatively more expensive.
The classical economists attacked the mercantilist propositions that
a. state action was necessary to direct the capitalist system. b. money had no intrinsic value. c. output was completely supply-determined. d. the wealth of a nation was closely linked to the country's stock of precious metals. e. Both a and d