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Author Question: Under a managed float system, central banks can A) allow international reserve changes. B) let ... (Read 42 times)

mspears3

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on: Jun 30, 2018
Under a managed float system, central banks can
 
  A) allow international reserve changes.
  B) let exchange rates adjust to market pressure.
  C) experience reserve changes and exchange rate changes.
  D) All of the above.

Question 2

Suppose that Brazil is capital abundant and Chile is natural resource abundant. If timber is natural resource intensive and computers are capital intensive, then
 
  A) Chile will produce more computers after trade begins with Brazil.
  B) Brazil will produce more timber after trade begins with Chile.
  C) Chile will produce more timber after trade begins with Brazil.
  D) Brazil will completely specialize in computers once trade begins with Chile.


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mcabuhat

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

D

Answer to Question 2

C


mspears3

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Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it

AmberC1996

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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