Which type of main institution in the international capital market most often is involved in foreign exchange intervention?
A) central banks
B) non-bank financial institutions
C) insurance companies
D) corporations
E) commercial banks
A
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What information is provided by the aggregate demand curve?
What will be an ideal response?
The above figure shows the market for winter jackets. In an effort to keep the nation warm, the president places a price ceiling of $100 in the market for winter jackets. Which of the following statements is true?
A) After taking account of the resources lost in search, consumer surplus increases when the price ceiling is in place. B) There will be a surplus of jackets. C) Because the price of a jacket is lowered, consumers end up buying more jackets with the price ceiling than without it. D) Producer surplus decreases if there is a price ceiling. E) The quantity supplied of jackets is greater that quantity demanded when there is a price ceiling.