A fixed exchange rate system crisis may be accompanied or followed by
A) unexpected gains of international reserves.
B) revaluation of a currency.
C) devaluation of a currency.
D) deflationary pressures within the country.
C
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Suppose that choice sets are convex. State assumptions about tastes that are necessary and sufficient to guarantee that the first order conditions are necessary and sufficient for identifying a true optimum.
What will be an ideal response?
Which economy managed to eliminate economic profits and losses?
A) Socialist Cuba B) Socialist China C) Fascist Italy D) Nazi Germany E) None of the above.
The minimum percentage of deposits that a depository institution must hold and cannot use for lending is known as the
A) minimum rate. B) required reserve ratio. C) money multiplier. D) discount rate.
In the figure above in the market for high-skilled labor, the equilibrium wage rate is
A) $16. B) $8. C) $20. D) $28.