Author Question: Dollarization is a policy action that A) tries to stabilize the value of the local currency vs. ... (Read 41 times)

lidoalex · **on:** Jun 30, 2018

Dollarization is a policy action that

A) tries to stabilize the value of the local currency vs. the U.S. dollar.
B) adopts the currency of another country as the national medium of exchange.
C) mimics policy actions taken by the U.S. Federal Reserve.
D) outlaws the holding of foreign currencies other than the U.S. dollar.

Question 2

A decline in Tobin's q can be caused by ________.

A) a rise in the market value of a firm
B) an increase in stock prices
C) a decline in stock prices
D) a decline in the replacement cost of capital