In an open economy with fixed exchange rates, fiscal policy is most effective at increasing real income if

A) capital mobility is perfect.
B) capital mobility is high.
C) capital mobility is low.
D) fiscal policy is ineffective with fixed exchange rates.

Answer: A

Business

You might also like to view...

________ scheduling assigns jobs to machines or employees to jobs

Fill in the blanks with correct word

View
Business

Technical analysis is so called because it relies on sound scientific principles rather than intuition

Indicate whether the statement is true or false.

View
Business