Author Question: Deficits financed by borrowed money lead to inflation, and in a fixed or crawling peg exchange rate ... (Read 28 times)

cnetterville

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Deficits financed by borrowed money lead to inflation, and in a fixed or crawling peg exchange rate system, this leads to the real exchange rate being undervalued.
 
  Indicate whether the statement is true or false

Question 2

Offshoring required which types of advances?
 
  What will be an ideal response?



Juro

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Answer to Question 1

FALSE

Answer to Question 2

Advances in communications technology, such as fax machines, video conferencing, the Internet, and in general, lower prices for long distance communication



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