Which of the following would be an example of capital formation?
A. The purchase of government bonds
B. An initial public offering by a technology company
C. The acquisition of a domestic company by a foreign country
D. The expansion of a grocery store into a rural area
Answer: D
You might also like to view...
A balance of payments crises under fixed exchange rates occurs when
A) a country runs out of foreign reserves. B) a country is in a liquidity trap. C) exports and imports expand beyond some point. D) marginal returns on foreign exchange investments approach zero. E) forward currency markets undergo high volatility.
Suppose an appreciation of the French franc causes U.S. prices of French wine imports to rise sharply. On the other hand, Californian wine becomes relatively inexpensive to French consumers. Other things equal, this will result in:
a. an increase in U.S. aggregate expenditures and an increase in the aggregate quantity of U.S. goods and services demanded. b. a decrease in U.S. aggregate expenditures and a decrease in the aggregate quantity of U.S. goods and services demanded. c. an increase in U.S. aggregate expenditures and a decrease in the aggregate quantity of U.S. goods and services demanded. d. no change in either U.S. aggregate expenditures or the aggregate quantity of U.S. goods and services demanded. e. a decrease in U.S. aggregate expenditures and an increase in the aggregate quantity of U.S. goods and services demanded.
Other things the same, if the central bank decreases the rate at which it increases the money supply, then in the long run
a. the short-run Phillips curve shifts right. b. the short-run Phillips curve shifts left. c. the long-run Phillips curve shifts right. d. the long-run Phillips curve shifts left.
______________________: includes all the detail and information that were relevant to deriving market value of the other conclusions within the report.
Fill in the blank(s) with the appropriate word(s).