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Author Question: Refer to Figure 19-7. Which of the following is true? (Read 609 times)

burchfield96

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on: Mar 16, 2019

Question 1

Figure 19-7











Refer to Figure 19-7.  At what level should the Indian government peg its currency to the dollar to make U.S. imports cheaper in India?


◦ greater than $.02/rupee
◦ less than $.02/rupee
◦ equal to $.02/rupee
◦ $1/rupee

Question 2

Figure 19-7











Refer to Figure 19-7.  Which of the following is true?


◦ U.S. imports are more expensive at exchange rates greater than $.02/rupee than at the equilibrium exchange rate.
◦ The rupee is overvalued at exchange rates less than $.02/rupee.
◦ To achieve an exchange rate greater than $.02/rupee, the Reserve Bank of India must buy surplus dollars with rupees.
◦ Indian exports to the United States are more expensive at exchange rates greater than $.02/rupee than at the equilibrium exchange rate.
Macroeconomics ¦ Hubbard, O'Brien ¦ 6th Edition
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Marked as best answer by burchfield96 on Mar 16, 2019

sultansheikh

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Reply #1 on: Mar 16, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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burchfield96

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Reply #2 on: Mar 16, 2019
Thanks


sultansheikh

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Reply #3 on: Mar 16, 2019
Welcome :)


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