If both matches and automobile prices increase by 10 percent, consumers will likely buy
a. fewer matches and approximately the same quantity of automobiles.
b. approximately the same quantity of matches and fewer automobiles.
c. fewer matches and fewer automobiles.
d. approximately the same quantity of both matches and automobiles.
b
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With the relative PPP, a rise in a nations inflation rate is always associated with an increase in the _____ if its currency
A) rate of appreciation B) rate of forward premium C) rate of deprecation D) rate of forward discount
Which of the following factors will result in the greatest amount of money being created?
a) A $1,000 cash deposit into a checking account. b) A $1,000 transfer from a checking account to a savings account. c) $1,000 in coins that is converted into $1,000 in bills. d) A $1,000 bond that matures which is used to buy another $1,000 bond.