When Mexico suffered from capital flight in 1994, Mexico's real interest rate
a. fell and the peso appreciated.
b. fell and the peso depreciated.
c. rose and the peso appreciated.
d. rose and the peso depreciated.
d
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According to conservatives the Bureau of Labor Statistics
A. overstates the number of unemployed and overstates the unemployment rate. B. overstates the number of unemployed and understates the unemployment rate. C. understates the number of unemployed and understates the unemployment rate. D. understates the number of unemployed and overstates the unemployment rate.
Refer to the scenario above. If India pegs the exchange rate at 70 rupees per dollar, it will require ________ rupees to repay the loan in dollars
A) 700,000 B) 70 C) 70,000 D) 7,000
Use the above table. Assuming constant opportunity costs, the opportunity cost of producing a gallon of wine in Argentina is
A) 0.33 pound of beef. B) 0.5 pound of beef. C) 2 pounds of beef. D) 3 pounds of beef.
If there are big gains to be had from specialization and trade, countries generally don’t produce one good because:
A. national economies often are perfectly free markets. B. there is perfectly free trade between national economies. C. specialization is generally limited by trade agreements. D. All of these are true.