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Author Question: There is a tendency for inflation rates to fall in countries that use inflation targeting. a. True ... (Read 46 times)

SAVANNAHHOOPER23

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on: Jun 30, 2018
There is a tendency for inflation rates to fall in countries that use inflation targeting.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

Assume that initially country A exchanges three barrels of oil for one ton of steel from country B. Later the arrangement changes to four barrels of oil for one ton of steel. This indicates that:
 a. the terms of trade for country B have improved.
  b. country A has a comparative advantage in the production of steel.
  c. the relative price of steel in terms of oil has fallen.
  d. the terms of trade for country A have improved.
  e. country B has an absolute advantage in the production of oil.


mathjasmine

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

True

Answer to Question 2

a


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