The mechanism behind the inflation insulation provided by a floating exchange rate is
A) Purchasing Power Parity.
B) a fixed AA curve.
C) market speculation.
D) tight monetary policy.
E) symmetry.
A
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Which of the following does NOT indicate intraindustry trade?
A) Trading Jeeps for Toyotas B) Trading Boeing airplanes for Airbus airplanes C) Trading Bush beer for Heineken beer D) Trading Japanese-made films for Hollywood-made films E) Trading oil for trucks
Which of the following situations is most likely to result in a producer monopoly?
a. A product for which quantity is low and demand is lower b. A product for which quantity is high and demand is low c. A product for which quantity is low and demand is high d. A product for which quantity is high and demand is higher
Many economists criticize monopolists because they produce at output levels that are not efficient, that is to say, monopolists
a. charge too high a price b. don't innovate c. produce a large quantity of waste d. usually don't produce at their minimum ATC e. may be profit conscious but they don't realize that maximum profit means maximum efficiency
When the Fed wants to expand the money supply, it
a. buys government securities. b. sells government securities. c. buys common stock. d. sells common stock.