Author Question: Changes in a currency's exchange rate adjust immediately to insure that A) official settlements ... (Read 30 times)

colton

  • Hero Member
  • *****
  • Posts: 627
Changes in a currency's exchange rate adjust immediately to insure that
 
  A) official settlements account parity always prevails.
  B) net exports always equal zero.
  C) interest rate parity always prevails.
  D) current account balance equals zero.
  E) purchasing power parity always prevails.

Question 2

If the slope of the aggregate expenditure curve is 0.5, then the expenditure multiplier equals
 
  A) 5. B) 0.5. C) 2. D) 3. E) 4.



dantucker

  • Sr. Member
  • ****
  • Posts: 346
Answer to Question 1

C

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

A strange skin disease referred to as Morgellons has occurred in the southern United States and in California. Symptoms include slowly healing sores, joint pain, persistent fatigue, and a sensation of things crawling through the skin. Another symptom is strange-looking, threadlike extrusions coming out of the skin.

Did you know?

Fewer than 10% of babies are born on their exact due dates, 50% are born within 1 week of the due date, and 90% are born within 2 weeks of the date.

Did you know?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Did you know?

On average, someone in the United States has a stroke about every 40 seconds. This is about 795,000 people per year.

For a complete list of videos, visit our video library