This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: What is an optimal currency area? Also, discuss the conditions that must be satisfied for an optimal ... (Read 180 times)

vicky

  • Hero Member
  • *****
  • Posts: 586
on: Jun 30, 2018
What is an optimal currency area? Also, discuss the conditions that must be satisfied for an optimal currency area to exist.
 
  What will be an ideal response?

Question 2

Which of the following will cause a reduction in the steady-state growth rate of output per worker?
 
  A) a reduction in the saving rate
  B) an increase in the population growth rate
  C) an increase in the rate of depreciation
  D) an increase in the saving rate
  E) none of the above


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

joechoochoy

  • Sr. Member
  • ****
  • Posts: 306
Reply #1 on: Jun 30, 2018
Answer to Question 1

An optimal currency area would be a region where one currency could be used. There are two conditions needed for this to be successful: similar shocks in the countries and high factor mobility.

Answer to Question 2

E


vicky

  • Hero Member
  • *****
  • Posts: 586
Reply #2 on: Jun 30, 2018
Thank you :)


joechoochoy

  • Sr. Member
  • ****
  • Posts: 306
Reply #3 on: Jun 30, 2018
Happy to help you


« previous next »
 

Did you know?

The strongest synthetic topical retinoid drug available, tazarotene, is used to treat sun-damaged skin, acne, and psoriasis.

Did you know?

The first successful kidney transplant was performed in 1954 and occurred in Boston. A kidney from an identical twin was transplanted into his dying brother's body and was not rejected because it did not appear foreign to his body.

Did you know?

When blood is deoxygenated and flowing back to the heart through the veins, it is dark reddish-blue in color. Blood in the arteries that is oxygenated and flowing out to the body is bright red. Whereas arterial blood comes out in spurts, venous blood flows.

Did you know?

If you use artificial sweeteners, such as cyclamates, your eyes may be more sensitive to light. Other factors that will make your eyes more sensitive to light include use of antibiotics, oral contraceptives, hypertension medications, diuretics, and antidiabetic medications.

Did you know?

According to the Migraine Research Foundation, migraines are the third most prevalent illness in the world. Women are most affected (18%), followed by children of both sexes (10%), and men (6%).

Aquilia Area in Color: Aquilia Area in Color:
Angioplasty. One form is called balloon angioplasty, shown here. A balloon catheter is threaded into Angioplasty. One form is called balloon angioplasty, shown here. A balloon catheter is threaded into
Fusiform Face Area and Autism Fusiform Face Area and Autism
Conditions Recommended for Prophylaxis Antibiotics Conditions Recommended for Prophylaxis Antibiotics
How to approximate the area of a function using midpoints How to approximate the area of a function using midpoints
Area of the hypoxic in The Gulf of Mexico’s “Dead Zone” Area of the hypoxic in The Gulf of Mexico’s “Dead Zone”
Video: Ciliate conjugation Animation

For a complete list of videos, visit our video library