The discount rate is the rate charged by the Fed on consumer loans it makes to the public, such as for student loans, automobile loans, or mortgage loans

Refer to Figure 19-7. If the Indian government pegs its currency to the dollar at a value above $.02/rupee, we would say the currency is

A) parity valued. B) undervalued. C) overvalued. D) equilibrium valued.

For China

A) there was a long period of success with the economic results of communism so it was hard to change policies. B) reform of its economic system was rapid, with a quick dismantling of most of the controls exercised by the state and party over the economic system, but not the political system. C) economic reforms were intended to create more wealth to distribute, not do undo the communist party. D) there are no longer state owned enterprises.