Interest rate parity is more likely to hold in the short run than purchasing power parity
Indicate whether the statement is true or false
TRUE
Explanation: Financial asset prices typically adjust to new information more quickly than goods prices. Since interest rates are the return to holding interest-bearing financial assets, we might expect interest rates to adjust quickly to new information just like exchange rates.
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Which of these nations has the highest rate of union membership (as a share of total employment)?
A) India B) the United States C) Japan D) Sweden
Which of the following produces external benefits?
A. College students getting vaccinated against the flu. B. Garbage dumped in the Atlantic Ocean. C. Passive smoke in a public building. D. All of the choices are correct.
The rich pay a _____ proportion of their income and a _____ dollar amount of federal income tax than the middle class.
A. higher; higher B. lower; lower C. higher; lower
At the minimum efficient scale
A) all possible economies of scale have not been exhausted. B) the firm has achieved the lowest possible average cost of production. C) any increases in the scale of operation will encounter further economies of scale. D) marginal cost is at its minimum.