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Author Question: In an open economy with floating exchange rates, monetary policy is most effective at increasing ... (Read 42 times)

sheilaspns

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  • Posts: 567
on: Jun 30, 2018
In an open economy with floating exchange rates, monetary policy is most effective at increasing real income if
 
  A) capital mobility is high.
  B) capital mobility is low.
  C) capital mobility is perfect.
  D) monetary policy is ineffective with floating exchange rates.

Question 2

If a bond pays the same coupon payment forever without a maturity, it is known as a
 
  A) perpetuity.
  B) forever bond.
  C) discount bond.
  D) consolidated bond.


olivia_paige29

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

C

Answer to Question 2

A


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