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Author Question: Which of the following is not an advantage of flexible exchange rates? a. Flexible exchange rates ... (Read 126 times)

sarasara

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on: Jun 30, 2018
Which of the following is not an advantage of flexible exchange rates?
 a. Flexible exchange rates provide businesses with protection against business risks associated with monetary base and the money supply changes.
  b. Flexible exchange rates provide businesses with protection against business risks associated with exchange rate changes.
  c. Flexible exchange rates absorb economic shocks.
  d. Flexible exchange rates allow a nation to pursue an independent monetary policy.

Question 2

Borrowing VCU3 from an online company cause the nation's:
 a. M2 money supply to remain the same.
  b. M2 money supply to rise.
  c. M2 money multiplier to rise.
  d. Monetary base to fall.


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mfedorka

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Reply #1 on: Jun 30, 2018
Answer to Question 1

.B

Answer to Question 2

.A


sarasara

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Reply 2 on: Jun 30, 2018
Gracias!

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Reply 3 on: Yesterday
Excellent

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