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Author Question: To cool off an inflationary economy, a government might ________. A) lower interest rates B) ... (Read 20 times)

daltonest1984

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on: Jul 7, 2018
To cool off an inflationary economy, a government might ________.
 
  A) lower interest rates
  B) raise interest rates
  C) lower foreign exchange rates
  D) raise foreign exchange rates

Question 2

The exchange rate at the beginning of a year between the Indian Rupee (R) and the U.S. dollar is R43.125/. The annual inflation rates in India and in the United States are 19 percent and 3 percent respectively.
 
  What would be the new exchange rate at the end of the year?
  A) R49.8224/
  B) R37.327/
  C) R0.0267/
  D) 37.327/R


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tuwy

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Reply #1 on: Jul 7, 2018
Answer to Question 1

B

Answer to Question 2

A


daltonest1984

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Reply 2 on: Jul 7, 2018
Great answer, keep it coming :)

frankwu0507

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

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