Under the gold standard era of 1870-1914
A) central banks tried to have sharp fluctuations in the balance of payments.
B) central banks tried to avoid sharp fluctuations in the current account of the balance of payments.
C) central banks tried to avoid sharp fluctuations in the trade account of the balance of payments.
D) central banks tried to avoid sharp fluctuations in the capital account of the balance of payments.
E) central banks tried to avoid sharp fluctuations in the balance of payments.
Question 2
What is the pattern of exports and imports in China and India?
A) Exports are heavily subsidized through government policy.
B) Many barriers to imports exist.
C) Exports and imports are tied together, with exports depending on imported inputs and technology.
D) Imports are not important to either nation's economy.
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