Accurate predictions for exchange rates can be determined by ...

[joe]

Accurate predictions for exchange rates can be determined by considering purchasing power parity.
 
  Indicate whether the statement is true or false

Question 2

The uncertainty costs of inflation cause ________ because ________.
 
  A) a decrease in investment and slower growth; people focus on the long run and not the short run
  B) an increase in investment and faster growth; people focus on the short run and not the long run
  C) a decrease in investment and slower growth; people increase their demand for money
  D) a decrease in investment and slower growth; people focus on the short run and not the long run
  E) an increase in investment and faster growth; people decrease their demand for money

[Brenm]

Answer to Question 1

FALSE

Answer to Question 2

D

[joe]

Thank you

[Brenm]

Happy to help you