International capital flows tend to reduce the impact of monetary policy
a. True
b. False
Indicate whether the statement is true or false
False
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For firms that sell one product in a perfectly competitive market, marginal revenue is always:
A. equal to average total cost. B. less than market price. C. the same as market price. D. greater than market price.
Which of the following is an endogenous variable in the Three-Sector-Model?
a. Wars b. Tax rate increases by the government c. A change from flexible to fixed exchange rates d. Domestic quantity of real credit per time period e. All of the above are endogenous
Suppose we were analyzing the pound per Swiss franc foreign exchange market. If Switzerland's tax level rises relative to England and nothing else changes, then the:
a. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market falls, causing an uncertain change in the value of the Swiss franc. b. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing an appreciation of the Swiss franc. c. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing a depreciation of the Swiss franc. d. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market rises, causing an uncertain change in the value of the Swiss franc. e. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market rises, causing an appreciation of the Swiss franc.
If the domestic income of a nation's citizens increase, then we might expect net export spending to:
A. remain constant. B. increase. C. decrease. D. there is not enough information to determine what would happen.