IMF advice to countries such as Russia and Argentina that suffer from exchange rates crises often requires these countries to adopt
a. fixed exchange rates.
b. expansionary monetary policies.
c. contractionary monetary policies.
d. state ownership of industry.
c
You might also like to view...
Which of the following factors would increase aggregate demand in the goods and services market?
a. an decrease in stock prices b. an increase in the real interest rate c. a decrease in real incomes abroad d. increased optimism on the part of consumers and businesses
The self-correcting tendency of the economy means that rising inflation eventually eliminates:
A. unemployment. B. exogenous spending. C. recessionary gaps. D. expansionary gaps.
When the government prints more money to finance debt, it is actually creating a situation that could result in
A) lowering foreign spending. B) inflation. C) increasing domestic spending. D) devaluing of the dollar in markets.
One reason that international trade is restricted is that
A) the individual gain to parties who benefit from the protection is much larger than the individual loss to parties who lose. B) the government completely pays the losers from international trade for their losses. C) protectionism benefits consumers. D) the government cannot measure the cost of protectionism.