The single European currency, the euro, was adopted by 11 member nations on January 1 of what year? (Points : 1) 1984 1991 1999 2001

Question 2. 2. The massive privatization that is currently taking place in formerly socialist countries, will likely: (Points : 1)

eventually enhance the standard of living for these countries' citizens. depend on private investment. increase the opportunities available to these countries' citizens. all of the above.

Question 3. 3. Privatization: (Points : 1)

has spurred a tremendous increase in cross-border investment. has allowed many governments to have the funds to nationalize important industries. has guaranteed that new ownership will be limited to the local citizens. has generally decreased the efficiency of the enterprise.

Question 4. 4. Multinational corporations (MNCs) can use their global presence to: (Points : 1)

take advantage of under-priced labor services available in certain developing countries. gain access to special R&D capabilities residing in advanced foreign counties. boost profit margins and create shareholder value. all of the above.

Question 5. 5. A "good" (or ideal) international monetary system should provide: (Points : 1)

liquidity, elasticity, and flexibility. elasticity, sensitivity, and reliability. liquidity, adjustments, and confidence. none of the above.

Question 6. 6. Under a flexible exchange rate regime, governments can retain monetary policy independence because the external balance will be achieved by: (Points : 1)

the exchange rate adjustments. the price-specie-flow mechanism. the Triffin paradox. none of the above.

Question 7. 7. Since the end of World War I, the dominant global currency has been the: (Points : 1)

British pound. Japanese yen. Euro. U.S. dollar.

Question 8. 8. The current account is divided into four finer categories: (Points : 1)

Merchandise trade, services, factor income, and statistical discrepancy Merchandise trade, services, factor income, and unilateral transfers Merchandise trade, services, portfolio investment, and unilateral transfers Merchandise trade, services, factor income, and direct investment

Question 9. 9. In the long run, both exports and imports tend to be: (Points : 1)

unresponsive to changes in exchange rates. responsive to changes in exchange rates. both a) and b). none of the above.

Question 10. 10. The factors of production are: (Points : 1)

land, labor, capital, and entrepreneurial ability. interest, wages and dividends. payments and receipts of interest, dividends, and other income on foreign investments that were previously made. none of the above.