Covered interest arbitrage ensures
A) exchange parity.
B) purchasing power parity.
C) interest parity.
D) All of the above.
C
Economics
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If the horizontal axis measures the quantity of bank reserves and the vertical axis measures the interest rate, the demand curve for bank reserves ________
A) slopes up B) is perfectly elastic C) slopes down D) is perfectly inelastic
Economics
The figure above shows the demand curve, marginal revenue curve, and marginal cost curve. The amount of consumer surplus when the market has a monopoly producer is
A) ace. B) abf. C) bcd. D) bcef. E) acd.
Economics