Which of these is an example of a fiscal policy?
a. Allocation of funds for Social Security programs
b. Purchase of foreign securities by the Fed
c. Printing of new dollar notes
d. Sale of U.S. Treasury bonds in the open market by the Fed
a
Economics
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When exchange rates change and prices stay the same:
a. relative prices of traded goods in the two nations are unchanged. b. the price of foreign goods expressed in the home currency will always rise. c. imports get more expensive as the home currency depreciates. d. the price of foreign goods expressed in the home currency will always fall.
Economics
In the classical model, government purchases or tax cuts are appropriate policies to raise GDP
a. True b. False
Economics