If a government wishes to reduce uncertainty with respect to its exchange rate, it can
a. establish fixed exchange rates
b. establish floating exchange rates
c. equilibrium exchange rates
d. establish uniform exchange rates
e. practice arbitrage
A
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A labor-intensive method of production is one that:
A) requires employees to work harder than they would in other occupations. B) relies exclusively on labor. C) relies on large quantities of labor and smaller quantities of capital equipment. D) combines a small but sophisticated labor force with a large amount of capital.
One way for the federal government to increase the amount of spending in the domestic economy would be to decrease personal and business taxes
Indicate whether the statement is true or false
The direct cause of the hyperinflation that plagued Zimbabwe in the 2000s is ________
A) printing of too much money by the central bank B) government expenditures greatly above revenues C) outlawing of price increases on many commodities D) allowing the use of foreign currencies E) the issuance of a $100 billion bank note
The fiscal policy target for achieving full employment when an inflationary gap exists is known as the
A. AD excess. B. Fiscal restraint. C. AD shortfall. D. Fiscal stimulus.