To eliminate an inflationary gap, the expenditure schedule should
A. shift upward.
B. shift downward.
C. become flatter.
D. become steeper.
Answer: B
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Which statement is NOT true regarding emerging markets?
A) Emerging market financial institutions have generally proven to be weaker than those in industrialized countries. B) Emerging markets are the capital markets of poorer, developing countries that have liberalized their financial system to allow private asset trade with foreigners. C) Countries with emerging markets include Brazil, Mexico, and Thailand. D) Countries with emerging markets have been unable to liberalize their financial systems to allow private trade with foreigners. E) Emerging market financial institutions contributed to the financial crisis of 1997-1999.
The M1 definition of the money supply includes currency,
a. checkable deposits, and savings accounts. b. checkable deposits, and credit cards. c. checkable deposits, and debit cards. d. and checkable deposits.
A reserve currency is a currency that is:
a. used exclusively to settle domestic debts. b. specifically designed for use by commercial banks to settle accounts. c. held only by bureaucrats. d. used to settle international debts by private corporations. e. held by governments to facilitate foreign exchange market interventions.
Monopolists are criticized because they are inefficient. What is meant by this statement?
A. Monopolists could use their resources better elsewhere. B. Monopolists don't innovate enough to control pollution. C. Monopolists produce a large quantity of waste. D. Monopolists usually don't produce at the minimum of the ATC.