________ keeps the exchange rate fixed in the short run but then ...

[torybrooks]

________ keeps the exchange rate fixed in the short run but then adjusts its value at regular intervals to account for supply and demand pressures.
 
  A) The European Monetary System
  B) A managed floating
  C) A crawling peg
  D) A crawling float

Question 2

An economy's long-run equilibrium is
 
  A) the equilibrium that would occur if prices were perfectly flexible.
  B) the equilibrium that would occur if prices were perfectly flexible and always adjusted immediately.
  C) the equilibrium that would occur if prices were perfectly flexible and always adjusted immediately to preserve full employment.
  D) the equilibrium that would occur if prices were perfectly fixed to preserve full employment.
  E) the equilibrium that would occur if prices were perfectly fixed at the full employment point.

[s.meritte]

Answer to Question 1

C

Answer to Question 2

C

[torybrooks]

Thanks for the timely response, appreciate it

[rleezy04]

Gracias!