Under a fixed exchange rate system, a government is at risk of running out of foreign currency reserves when the country's imports continue to exceed its exports
Indicate whether the statement is true or false
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All else constant, an increase in the number of buyers in the market for cell phone service would cause:
A) equilibrium price and quantity to increase. B) equilibrium price and quantity to decrease. C) equilibrium price to increase and equilibrium quantity to decrease. D) equilibrium price to decrease and equilibrium quantity to increase.
When the United States engaged in quantitative easing from 2008 to 2014, why didn't the money supply rise sharply?
A) Foreigners wanted all the new dollars created by the Federal Reserve. B) Banks held the increased monetary base as excess reserves. C) The Fed offset the increased monetary base by raising reserve requirements. D) The Fed offset the increased monetary base by buying foreign currency.
When economists refer to intangible items, they are referring to such things as
a. illegal goods, and the value of such items is included in GDP. b. illegal goods, and the value of such items is excluded from GDP. c. hair styling and dental care, and the value of such items is included in GDP. d. hair styling and dental care, and the value of such items is excluded from GDP.
Malaysia, Brazil, and South Korea are each
A. less developed countries (LDCs). B. newly industrializing countries (NICs). C. industrialized countries.