What do you think about dollarization?
What will be an ideal response?
This is an open question. The answer is probably a bad idea unless in the very short run. Students should talk about the loss of seigniorage and the gain in credibility against devaluation, which should lead to lower domestic interest rates. Students should mention the importance of political will to repair the fundamental economic weaknesses of the country.
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Under a "cost-plus" system of hospital reimbursement, hospitals have the incentive to _____
a. minimize expenditures b. purchase the most recent high-tech equipment c. release patients early d. shift away from more expensive surgeries
U.S. GDP excludes the production of most illegal goods
a. True b. False Indicate whether the statement is true or false
The present value of a given payment will be larger the further into the future that payment is to be received
Indicate whether the statement is true or false
If an economy is operating at potential output:
A. any surplus would be a structural surplus. B. a budget surplus is impossible. C. the budget must be in surplus. D. any surplus would be a cyclical surplus.