Author Question: If a depreciation of the British pound is to be prevented, the U.S. Federal Reserve has to buy ... (Read 94 times)

CORALGRILL2014 · **on:** Jun 30, 2018

If a depreciation of the British pound is to be prevented, the U.S. Federal Reserve has to buy British pounds and sell U.S. dollars.
a. True
b. False
Indicate whether the statement is true or false

Question 2

To say that a price ceiling is binding is to say that the price ceiling
a. results in a surplus.
b. is set above the equilibrium price.
c. causes quantity demanded to exceed quantity supplied.
d. All of the above are correct.