Under a fixed exchange rate system, if an appreciation in the value of a country's currency develops, the monetary authorities must intervene by ________
A) selling foreign exchange
B) buying and selling the domestic currency
C) raising the foreign interest rate
D) buying foreign exchange
D
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A commercial bank's last resort for borrowing reserves is from the:
A) discount window. B) central government. C) federal funds market. D) foreign banks.
The conceptual measure of the satisfaction a person obtains by consuming all the units of a good or service during a given time period is:
a. total product. b. total revenue. c. total utility. d. total product.
If the marginal propensity to consume is 0.5 and disposable income increases by $10,000 . by how much will consumption spending increase?
a. $10,000 b. $500 c. $50 d. $5,000 e. $9,524
Equilibrium GDP is reached when
a. aggregate expenditure exceeds GDP b. aggregate expenditure is less than GDP c. aggregate expenditure equals the level of output d. the level of output is greater than aggregate expenditure e. the level of output is less than aggregate expenditure