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Author Question: If the euro per dollar exchange rate changes from 1 = 0.8 euros to 1 = 0.7 euros, it implies that ... (Read 71 times)

j.rubin

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If the euro per dollar exchange rate changes from 1 = 0.8 euros to 1 = 0.7 euros, it implies that the euro has depreciated against the dollar.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

Which of the following is true?
 a. When real interest rates are higher in country A than country B there will tend to be a capital flow from country B to country A.
  b. When real interest rates are higher in country A than country B there will tend to be a capital flow from country A to country B.
  c. Capital flows will tend to increase real interest rates in countries with a capital inflow.
 d. Both b. and c. are correct.



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31809pancho

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Answer to Question 1

False

Answer to Question 2

d




j.rubin

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Reply 2 on: Jun 30, 2018
Gracias!


Kedrick2014

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

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