Suppose a country that has been pegging its currency is faced with a situation where financial market participants now expect some future revaluation. In such a situation, we would generally expect which of the following to occur?
A) an increase in the domestic interest rate
B) an announcement by the central bank that a large revaluation will occur in the near future
C) an increase in demand for the country's currency
D) all of the above
E) none of the above
A
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Which of the following firms is not able to practice price discrimination?
A) commercial airlines B) the largest wheat farmer in Nebraska C) land-line telephone companies D) movie theaters
Which of the following countries is forbidden to impose export tariff by its constitution?
a. The United States b. Brazil c. The United Kingdom d. Japan e. Mexico
A commercial bank has $1,000,000 of outstanding demand deposits and actual reserves of $300,000 . If the required reserve ratio is 20 percent, what is the maximum amount of new loans the bank can extend?
a. zero b. $100,000 c. $300,000 d. $700,000
The marginal product of labor is
a. the average number of units produced by each worker. b. the additional output produced when another worker is hired. c. a worker's weekly production. d. the total number of units each worker is capable of producing.