Which is NOT an example of signaling high quality in a social setting
a. wearing everyday clothes to a job interview
b. leaving a big tip for the waiter after a dinner date
c. offering an expensive engagement ring to your bride
d. Visiting the beauty salon before a big date
a
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If the interest rate on a bank deposit in the United States is 3 percent while a similar deposit earns 6 percent in Britain, then we could expect that deposits would flow to
A) Britain if the pound is expected to depreciate more than 3 percent. B) the United States regardless of exchange rate expectations. C) the United States if the dollar is expected to appreciate less than 3 percent. D) Britain if the pound is expected to depreciate less than 3 percent. E) Britain regardless of exchange rate expectations.
The expected inflation rate is the
A) same as the actual inflation rate. B) inter-annual, non-energy inflation rate. C) inflation rate that people forecast and use to set the money wage and other money prices. D) rate that people expect the Bureau of Labor Statistics to announce each month, on which bookies take bets. E) inflation rate that the Federal Reserve system announces as the policy goal for the year.