What separates a sterilized foreign exchange market intervention from an unsterilized intervention?
What will be an ideal response?
Simply, if the foreign exchange intervention alters the monetary base it is unsterilized. If the monetary base remains the same after the intervention, the intervention is sterilized.
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If two accountants have had the same education, amount of experience, and work at the same type of job for the same profit-maximizing firm, which charges its clients a uniform hourly fee,
a. they should earn the same amount of money b. the one whose job is riskier should be paid more c. the one whose job is riskier should be paid less d. the one who has a higher marginal product (due to ability) should be paid more e. the one who has a higher marginal product (due to ability) should be paid less
The per capita output of an economy is likely to increase if: a. the number of workers in the economy grows faster than its population
b. the population of the country grows faster than its labor force. c. the government increases the tax rates. d. the government controls the number of illegal immigrant workers in the economy. e. the government manages the foreign investment in the economy.
Excess quantity demanded may result from
A) a government-imposed minimum price above market equilibrium. B) a government-imposed maximum price below market equilibrium. C) an oversupply of output. D) technological progress.
Which of the following is NOT true for a perfectly competitive firm in the long run?
A. MC > LAC B. MR = MC C. SAC = LAC D. Price = MC