Forward contracts are of limited usefulness to financial institutions because
A) of default risk.
B) it is impossible to hedge risk.
C) they are relatively inflexible.
D) of interest-rate risk.
A
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Everything else being the same, if the interest rate in the United States increases, then in the foreign exchange market the
A) demand for U.S. dollars will remain unchanged. B) demand for U.S. dollars will increase. C) demand for U.S. dollars will decrease. D) supply of U.S. dollars will increase.
How did the international monetary system created at Bretton Woods in 1944 allow its members to reconcile their external commitments with their internal goals of full employment and price stability?
What will be an ideal response?
An economic justification for government providing public goods and services is that many people can benefit regardless of whether they pay or not
a. True b. False Indicate whether the statement is true or false
In Figure 45.2, at the perfectly competitive equilibrium, the wage will be 
Figure 45.2
A. between W1 and W2. B. W1. C. W2. D. W*.