Author Question: Under the Gold Standard, A) exchange rates could float. B) real interest rates were fixed. C) ... (Read 109 times)

burton19126 · **on:** Jun 30, 2018

Under the Gold Standard,

A) exchange rates could float.
B) real interest rates were fixed.
C) real exchange rates were fixed.
D) nominal interest rates were fixed.
E) none of the above

Question 2

The countries with the lowest output per capita

A) are rich with human capital, but have little physical capital.
B) are rich with physical capital, but have little human capital.
C) are poor in both human and physical capital.
D) have low living standards in spite of relatively high levels of both human and physical capital.
E) may or may not be poor in human capital, depending on whether the exchange rate or purchasing power parity method is used for comparison.