A key component of the asset approach to exchange rates is being able to gauge accurately:
a. the price level.
b. the rate of inflation.
c. expected future exchange rates.
d. the GOP gap.
Ans: c. expected future exchange rates.
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Using the data in the above table, what is the value of national saving?
A) $1,202 billion B) $2,837 billion C) $1,053 billion D) -$85 billion
Explain the effects of a tax cut if the economy is operating on the downward sloping segment of the Laffer curve
Which of the following is an advantage that a sole proprietorship has over all other types of firms?
a. unlimited liability b. easy access to capital markets c. all decision making belongs to the owner d. shared liabilities e. small scale of operation
When someone tells you they made $17,000 in 1970:
A. it is difficult to tell from that number if the person was well off or not, because prices have changed so much since then. B. it is a nominal figure that is hard to understand. A real figure would be more helpful. C. the income should be adjusted into current dollars to clearly understand what that salary is "worth" in terms of purchasing power. D. All of these statements are true.