Critics of fixed exchange rates argue that fixed rates:
a. reduce uncertainty in international trade
b. result in currency shortages just as wage and price controls lead to shortages in markets for goods and services.
c. make nations less constrained in carrying out in internal macroeconomic policies.
d. lead to constant, day-to-day changes in the exchange values of currencies.
b
You might also like to view...
Use the following data to answer the next question. The disposable income (DI) and consumption (C) schedules are for a private, closed economy (an economy with no government and no international trade). All figures are in billions of dollars.Disposable IncomeConsumption$10,000$12,00018,00018,00026,00024,00034,00030,00042,00036,00050,00042,000The marginal propensity to consume is
A. 0.80. B. 0.20. C. 0.75. D. 0.25.
Why are the governments of developed countries concerned about the quality of education in their countries?
What effect does education play in determining the country's economic growth rate and its standard of living? Why does it have this effect?
Which of the following will improve your bargaining position with customers
a. The product your team produces has become more costly to produce b. New firms have entered the market with competing products for the ones your team produces c. Your competitors have developed new products that contain more of the features that your team produces d. There are fewer close substitutes for the product your team supports
If the price of inputs rises and personal income taxes rise:
a. Price index falls, and real GDP rises. b. Price index falls, and real GDP falls. c. Price index falls, and the change in real GDP is uncertain. d. The change in price index is uncertain, and real GDP rises. e. The change in price index is uncertain, and real GDP falls.