In response to a temporary change in total factor productivity, the adoption of capital controls under a fixed exchange rate
A) amplifies the effect of this disturbance on both domestic output and the domestic nominal money supply.
B) amplifies the effect of this disturbance on domestic output and dampens the effect on the domestic nominal money supply.
C) dampens the effect of this disturbance on domestic output and amplifies the effect on domestic nominal money supply.
D) dampens the effect of this disturbance on both domestic output and the domestic nominal money supply.
D
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Which of the following is not included in aggregate demand?
What will be an ideal response?
When a positive externality is present in a market, total surplus is:
A. higher when buyers only consider private costs. B. lower when buyers consider social costs. C. lower when buyers only consider private costs. D. None of these statements is true.
How can network effects lead an industry to become an oligopoly?
What will be an ideal response?