Which of the following represents direct foreign investment? Group of answer choices An American hedge fund buys Russian government bonds. Intel moves part of its production to a plant in Malaysia. A purchase by an Italian company of Microsoft stock on the New York Stock Exchange. A deposit that an American tourist makes at a Swiss bank to open an account.

Your country has a positive International Investment Position (IIP) with another country. This statement means

Group of answer choices

the other country is in more debt to you than your country is to them.

the other country's citizens own more assets in your country than your country's citizens own in the other country.

your country's citizens own more assets in the other country than the other country's citizens own in your country.

you are in more debt to the other country than it is to your country.

Flag question: Question 4Question 41 pts

The U.S. dollar is overvalued and the peso is undervalued

Group of answer choices

if a visitor to Mexico from the United States can buy more goods in Mexico than he can buy in the United States when he converts pesos to dollars.

if a visitor to Mexico from the United States can buy more goods in Mexico than he can buy in the United States when he converts dollars to pesos.

if a visitor to Mexico from the United States can buy more goods in the United States than he can buy in Mexico when he converts dollars to pesos.

if a visitor to Mexico from the United States can buy the same amount of goods in Mexico as he can buy in the United States when he converts dollars to pesos.

Flag question: Question 5Question 51 pts

If the U.S. dollar depreciates in terms of the Euro:

Group of answer choices

American goods would be cheaper for Europeans.

The relative price of U.S. exports would rise.

Americans would have to pay fewer dollars for one Euro.

European goods would be cheaper for Americans.

Flag question: Question 6Question 61 pts

Which of the effects is not considered when choosing an exchange rate system?

Group of answer choices

The restrictions that exist for capital movements to and from the choosing country.

The influence that the government will allow the central bank over the currency.

What countries will participate in the market for the choosing country's currency.

The fiscal (spending and taxation) policy that the choosing country will maintain.

Flag question: Question 7Question 71 pts

Under a floating exchange rate regime, in the short run an increase in taxes in Europe would necessarily lead to:

Group of answer choices

A decline in European output and increase in U.S. output.

An increase in both European and U.S. output.

An increase in European output and decline in U.S. output.

A decline in both European and U.S. output.

Flag question: Question 8Question 81 pts

The most important economic agents that affect the economy through saving and spending are

Group of answer choices

foreigners, via imports and exports.

the government, via taxation and expenditures.

households and corporations, via their transactions.

All of the above.

Flag question: Question 9Question 91 pts

The global economic crisis that started in 2007 had its origins in the development of global imbalances after 2000 between

Group of answer choices

countries with large banking systems and countries with no banking systems.

resource rich countries and resource poor countries.

rich countries with high incomes per capita and poor countries with low incomes per capita.

high-saving countries and high-consumption countries.

Flag question: Question 10Question 101 pts

In a banking crisis, disintermediation occurs as banks

Group of answer choices

lose their ability to intermediate between savers and borrowers.

lose their ability to borrow funds at the federal funds rate.

lose government provided deposit insurance.

All of the above.