A central bank's attempt to prevent an appreciation of its currency can stimulate domestic inflation if the ________ of foreign currencies leads to ________ international reserves which ________ the monetary base
A) purchase; higher; increases
B) purchase; lower; decreases
C) sale; lower; decreases
D) sale; higher; increases
A
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The multiplier is calculated as the change in ________ divided by the change in ________
A) real GDP; induced spending B) nominal GDP; autonomous expenditure C) real GDP; autonomous expenditure D) autonomous expenditure; real GDP
The response in quantity demanded to a price increase in subway rides:
A. will be more elastic in six weeks than in six months. B. will be less elastic in six weeks than in six months. C. will be the same over that time period. D. is unpredictable without more information.
The industrial revolution began in
A. England. B. The United States. C. Germany. D. Japan.
Economists are strongly united in their belief that the stock market is
A. risk neutral. B. an unfair gamble. C. efficient. D. inefficient.