Which of the following is one of the balance of payments accounts?
A) government expenditure account
B) capital and financial account
C) reserve account
D) net borrowing account
B
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In the diagram above, which figure(s) show(s) a direct relationship between the variables?
A) both A and C B) only D C) only A D) both B and C E) only B
A productivity improvement will cause
A) a rightward movement along the saving-per-worker curve and an increase in the capital—labor ratio. B) an upward shift in the saving-per-worker curve and an increase in the capital—labor ratio. C) a downward shift in the saving-per-worker curve and a decrease in the capital—labor ratio. D) a leftward movement along the saving-per-worker curve and a decrease in the capital—labor ratio.
If the required reserve ratio is .2 and reserves initially decline by $25, demand deposits can decline by
A) $125. B) $50. C) $25. D) $5.
When two goods are unrelated
A) the demands for both goods will be inelastic. B) cross price elasticity of demand will be 0. C) cross price elasticity of demand will be negative. D) cross price elasticity of demand will be positive.