The signaling effect of foreign exchange intervention
A) never has any effect on exchange rates.
B) can alter the market's view of exchange rates independent from the stance of monetary and fiscal policies.
C) cannot cause an immediate exchange rate change when bonds denominated in different currencies are perfect substitutes.
D) never leads to actual changes in monetary or fiscal policy.
E) can alter the market's view of future monetary policies and cause an immediate exchange rate change.
E
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Refer to the information provided in Figure 32.2 below to answer the question(s) that follow.
Figure 32.2Refer to Figure 32.2. According to the ________ economists, under rational expectations an expected decrease in taxes would not change AD or AS.
A. Keynesian B. the new classical C. monetarist D. none of the above
Which of the following is least likely to be considered an input to production?
A) a supervisor's time B) an integrated circuit fabrication plant C) wind D) None of the above.