What are the costs of capital mobility?
What will be an ideal response?
The cost is potential macroeconomic crisis from volatile capital flows.
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In the model of monopolistic competition, trade costs between countries will cause domestic and foreign markets to have ________ prices, ________ quantities sold, and ________ profit levels
A) different; different; different B) identical; different; different C) different; different; identical D) identical; different; identical E) identical; identical; different
If the demand for one good decreases when the price of another good increases, the two goods are ________ goods.
A. normal B. inferior C. complementary D. substitute
Interest is ultimately
A) any return on investment. B) the price of money. C) unearned income. D) the difference between the subjective value of a good now and a good later.
In the above figure, when the firm produces output corresponding to point c, the firm's marginal cost
A) is less than its marginal revenue. B) equals its marginal revenue. C) exceeds its marginal revenue. D) equals its average revenue.