This topic contains a solution. Click here to go to the answer

Author Question: In an economy with perfect capital mobility, if domestic interest rates are above world interest ... (Read 124 times)

xclash

  • Hero Member
  • *****
  • Posts: 681
In an economy with perfect capital mobility, if domestic interest rates are above world interest rates then
 
  a. capital outflows will drive domestic interest rates down.
  b. capital inflows will drive domestic interest rates down.
  c. current account deficits will drive domestic interest rates down.
  d. the central bank will have to intervene even if exchange rates are floating.

Question 2

Field (2003) claims that the period from 1929 to 1941 was the strongest period of what in U.S. history?
 
  (a) Technological advancements
  (b) Monetary policy
  (c) Government action
  (d) Internationalizatio n



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

kjohnson

  • Sr. Member
  • ****
  • Posts: 330
Answer to Question 1

B

Answer to Question 2

(a)




xclash

  • Member
  • Posts: 681
Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it


vickyvicksss

  • Member
  • Posts: 351
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

Did you know?

Approximately one in four people diagnosed with diabetes will develop foot problems. Of these, about one-third will require lower extremity amputation.

Did you know?

To maintain good kidney function, you should drink at least 3 quarts of water daily. Water dilutes urine and helps prevent concentrations of salts and minerals that can lead to kidney stone formation. Chronic dehydration is a major contributor to the development of kidney stones.

Did you know?

Multiple experimental evidences have confirmed that at the molecular level, cancer is caused by lesions in cellular DNA.

Did you know?

Approximately 70% of expectant mothers report experiencing some symptoms of morning sickness during the first trimester of pregnancy.

Did you know?

Oliver Wendell Holmes is credited with introducing the words "anesthesia" and "anesthetic" into the English language in 1846.

For a complete list of videos, visit our video library