One of the reasons that neighboring countries tend to ally is similar consumer tastes.

In the monetarist version of the AD-AS framework, starting from long-run equilibrium, an increase in the money supply produces

A) no change in Real GDP in the short run or the long run. B) a rise in Real GDP in both the short run and the long run. C) a rise in Real GDP in the short run, but not in the long run. D) a rise in Real GDP in the long run, but not in the short run.

Which of the following statements is most correct?

A. A fixed exchange rate policy is a lack of a monetary policy. B. A fixed exchange rate policy is appropriate for a country that lacks a central bank. C. A fixed exchange rate policy is a monetary policy. D. A fixed exchange rate policy is only appropriate for countries with little international reserves.