Question
i only need the correct answers, thanks. don't need explanation! Question 46(1 point) Under a flexible exchange rate system, what will a contractionary fiscal policy
i only need the correct answers, thanks. don't need explanation!
Question 46(1 point)
Under a flexible exchange rate system, what will a contractionary fiscal policy lead to?
Question 46 options:
an appreciation of the domestic currency
a decrease in foreign reserves
a depreciation of the domestic currency
an increase in foreign reserves
Question 47(1 point)
Suppose Scotland could produce 4 tonnes of potatoes or 2 tonnes of wheat per worker per year, while Ireland could produce 2 tonnes of potatoes or 3 tonnes of wheat per worker per year. What country has the comparative advantage and absolute advantage in producing potatoes?
Question 47 options:
Scotland has the comparative advantage in potato production, while Ireland has the absolute advantage
Ireland has the comparative advantage in potato production, while Scotland has the absolute advantage.
Ireland has both the comparative and absolute advantage in potato production.
Scotland has both the comparative and absolute advantage in potato production.
Question 48(1 point)
A bank has demand deposits of $100 million, and it desires a 25 percent reserve ratio. How much will it hold in reserve?
Question 48 options:
$50 million
$25 million
$100 million
$75 million
Question 49(1 point)
Which of the following is most likely to cause the depreciation of the Canadian dollar?
Question 49 options:
an American-owned company buys Canadian oil
a Canadian businessman on an extended trip through Africa
a Canadian farmer relies on exports
a German family on vacation in Quebec
Question 50(1 point)
Rebecca is Canadian and has family in Scotland. When her family sends a monetary gift for her birthday, how is this gift classified?
Question 50 options:
as service imports
as net secondary income
as merchandise imports
as net primary income
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