Author Question: A common response to stop a depreciation of a currency is to use contractionary monetary policy, ... (Read 74 times)

dejastew

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A common response to stop a depreciation of a currency is to use contractionary monetary policy, which could lead to a recession.
 
  Indicate whether the statement is true or false

Question 2

After trade opens, the short run impact on the income of the specific factor that is relatively scarce will be
 
  A) a decrease in its income.
  B) an increase in its income.
  C) no change in its income.
  D) indeterminate, income effects are not possible to know.


ong527

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Answer to Question 1

TRUE

Answer to Question 2

A



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