A deficit nation in a fixed exchange rate system can improve its balance of payments by increasing

A. its money supply.
B. its interest rates.
C. its level of real GDP.
D. aggregate demand.


Answer: B

Economics

You might also like to view...

A factory produces 1,000 radios a year, AVC = $10 and TFC = $5,000. The factory’s TC

A. equals $15. B. equals $5,005. C. equals $15,000. D. cannot be determined from the information given.

Economics

In the United States today, households headed by single women are more likely to be poor than:

A. married families. B. black males. C. Hispanic males. D. All of these are true.

Economics

A motivation for holding stock is

A. To receive interest payments on the firm's debt. B. To have a direct role in the operation of the corporation. C. To own a low-risk, illiquid asset. D. The anticipation of capital gains.

Economics

The breakfast cereals industry can be best modeled using the model of

A. monopoly. B. perfect competition. C. oligopoly. D. monopolistic competition.

Economics