A country will have a balance-of- payments deficit when its exchange rate:
A. equals the market equilibrium value.
B. is undervalued.
C. is overvalued.
D. is flexible.
Answer: C
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Which of the following is not an advantage of starting a new business as a sole proprietorship?
A) the initial cost in setting up the business B) limited control over the operation of the business C) separation of ownership and business liability D) possibility of double taxation
The granting of small, unsecured loans to small businesses and entrepreneurs is known as
A. Extreme finance. B. Long-term finance. C. Microfinance. D. Growth finance.
An increase in the price of one good will cause
A. a parallel shift in the budget curve. B. an inside shift of the budget curve. C. an outward rotation of the budget curve. D. an inward rotation of the budget curve.
If the government provides universal health insurance, what screening process will the government need?
A) It won't need a screening test. B) It will only give health insurance to non-smokers. C) It won't use screening tests but it will use statistical discrimination. D) It won't use screening tests but it will use signals.