In response to a temporary change in total factor productivity, the adoption of capital controls under a flexible exchange rate
A) amplifies the effect of this disturbance on both domestic output and the nominal exchange rate.
B) amplifies the effect of this disturbance on domestic output and dampens the effect on the nominal exchange rate.
C) dampens the effect of this disturbance on domestic output and amplifies the effect on the nominal exchange rate.
D) dampens the effect of this disturbance on both domestic output and the nominal exchange rate.
D
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Which of the following is not correct?
a. China allows only one child per family and couples that violate this rule are subject to substantial fines. b. In developed countries, population growth is consistently about 3 percent per year; in developing countries it is consistently about 5 percent per year. c. Educational attainment tends to be lowest in countries with the highest population growth. d. Economists generally believe that a country that decreases a high population growth rate can increase its economic growth rate.
Assume that in year 1 your average tax rate is 20 percent on a taxable income of $20,000. If the marginal tax rate on the next $10,000 of taxable income is 30 percent, what will be the average tax rate if your taxable income rises to $30,000?
A. 7 percent. B. 30 percent. C. About 16 percent. D. About 23 percent.