In the long run, the currency of a country that has a higher inflation rate will appreciate against the currency of a country whose inflation rate is lower
a. True
b. False
B
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An open economy produces most of the goods and services that it needs, with few imports and exports.
Answer the following statement true (T) or false (F)
Technological advances lead to ________
A) a shift of the short run AS curve up B) a shift of the long run AS curve to the left C) an upward movement along the long run AS curve D) all of the above E) none of the above
Liquidity refers to the
A. rapidity with which money flows through the economy. B. ease with which an asset can be converted into cash. C. ease with which banks move funds from checking to savings accounts. D. All of these responses are correct.
In a traditional economy, innovation is encouraged
a. True b. False Indicate whether the statement is true or false