A capital inflow occurs when:
A. money saved domestically is invested in another country.
B. money saved in another country finances domestic investment.
C. there is a negative difference between capital inflows and capital outflows for a country.
D. there is a positive difference between capital inflows and capital outflows of a country.
B. money saved in another country finances domestic investment.
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The ECB has the following mandates, EXCEPT:
A) use interest rates to implement the policy of price stability. B) use monetary policy to fulfill objectives of the European Union community. C) not be under the jurisdiction of any other European Union institution. D) finance deficits of member countries when needed.
The demand for seats in 10 a.m. classes at the university is higher than the demand for seats in 8 a.m. classes. The supply of seats is fixed. If the university can only charge a single price and wishes to maximize the total number of seats purchased during the day, it should set the price
A) at equilibrium for 8 a.m. classes. B) at equilibrium for 10 a.m. classes. C) midway between the two equilibria. D) below either 8 a.m. or 10 a.m. equilibrium price.