An American firm that buys foreign exchange because its managers expect the dollar to depreciate is
A) increasing the supply of foreign exchange.
B) increasing the demand for foreign exchange.
C) speculating.
D) Both A and B.
E) Both B and C.
E
Economics
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Suppose a country's debt rises by 6% and its GDP rises by 8%. What happens to the debt-GDP ratio?
A) It rises if there is a budget deficit that period. B) It falls. C) It rises. D) There is insufficient information to answer the question.
Economics
In the market for potatoes, where price level reaches its low in October and its peak in June, speculators help to:
a. keep the equilibrium price uniform over the year. b. lower the level of consumption in June. c. lower the level of consumption in October. d. keep the equilibrium price level low over the year.
Economics