The supply curve of U.S. dollars shifts leftward. This could have been influenced by ________
A) a rise in the U.S. interest rate differential
B) a fall in the expected future exchange rate
C) an increase in the U.S. exchange rate
D) a decrease in the U.S. exchange rate
A
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A decrease in the demand for U.S. exports ________ the demand for U.S. dollars and shifts the demand curve for U.S. dollars ________
A) increases; rightward B) decreases; rightward C) decreases; leftward D) increases; leftward
The difference between adverse selection and moral hazard is that
A) moral hazard happens at the time parties enter into a transaction; adverse selection occurs after the transaction takes place. B) moral hazard is the motive that is behind one party entering into a transaction with another party. Adverse selection refers to the other party being harmed by the transaction. C) moral hazard refers to the likelihood that a transaction will lead one party to be better off at the expense of the other party to the transaction. Adverse selection refers to the consequences of the transaction after it has occurred. D) adverse selection happens at the time parties enter into a transaction; moral hazard occurs after the transaction takes place.
The Glass-Steagall Act
A) was passed in response to the financial crisis of 2007-2009. B) requires that CEO's personally certify the accuracy of financial statements. C) prevented financial firms from being both commercial banks and investment banks. D) all of the above
A major force leading the U.S. economy to full employment after the Great Depression was
a. higher interest rates. b. higher reserve requirements. c. government spending for World War II. d. automobile production.