Absolute purchasing power parity is
A) likely to hold in real world situations because currency markets move so quickly today.
B) unlikely to hold in real world situations because goods cannot move as easily as currencies.
C) likely to hold because governments closely watch these markets to prevent their currencies from becoming overvalued.
D) unlikely to hold because governments closely watch these markets to prevent their currencies from becoming undervalued.
Answer: B
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A bank's reserves equal its
A. government securities. B. transactions deposits. C. vault cash plus deposits at the Federal Reserve. D. cash assets plus government securities.
You manage the sales department of a toy manufacturer. You have been asked to prepare a visual that will demonstrate the sales trend for the company's most popular product, a video game, from 2001 to the present. Which visual should you create?
A. line chart B. bar chart C. pie Chart D. table
What is the difference between information systems (IS) and information technology (IT)?
What will be an ideal response?
Which of the following statements is correct?
A. The probability of default is higher on short-term bonds than on long-term bonds. B. Reinvestment rate risk is lower, other things held constant, on long-term than on short-term bonds. C. According to the market segmentation theory, the yield curve is expected to slope downward. D. Borrowers prefer to borrow on a short-term basis, as a result, the yield curve is downward sloping. E. If the inflation is expected to decrease in the future, then the yield curve should have an upward slope.