How do the Fed's monetary policy actions influence the exchange rate?
What will be an ideal response?
The Fed influences the exchange rate by changing the U.S. interest rate differential
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Consumption spending is $5 million, planned investment spending is $8 million, actual investment spending is $8 million, government purchases are $10 million, and net export spending is $2 million
Based on this information, which of the following is true? A) Aggregate expenditure is greater than GDP. B) Aggregate expenditure is equal to GDP. C) There was an unplanned change in inventories. D) Aggregate expenditure is less than GDP.
Human capital is generally acquired through:
A. education, training and experience of workers. B. training, but not academic education. C. job experience, but not training workshops because they are generally specific to certain job types. D. occupational workshops only,because this is where workers attain job focused skills.
The economic goals about which there is a substantial agreement include all of the following except:
A. a low rate of inflation. B. a high level of employment. C. a large trade surplus. D. a high rate of economic growth.
If a price ceiling is set above the equilibrium price,
A. there will be a shortage. B. quantity demanded will equal quantity supplied. C. there will be a surplus. D. demand will be less than supply.