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Author Question: A decrease in the real interest rate outside of the United States will cause net capital outflows to ... (Read 37 times)

APUS57

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on: Jun 30, 2018
A decrease in the real interest rate outside of the United States will cause net capital outflows to ________ and cause the dollar to ________ relative to other currencies.
 
  A) increase; appreciate
  B) increase; depreciate
  C) decrease; appreciate
  D) decrease; depreciate

Question 2

In a model with money neutrality, a 10 increase in the money supply leads to an increase of prices by
 
  A) more than 10.
  B) 10.
  C) less than 10, but more than zero.
  D) zero.


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macmac

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

C

Answer to Question 2

B


APUS57

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Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

smrtceo

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Reply 3 on: Yesterday
Excellent

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