Suppose a country is pursuing a fixed exchange rate regime with imperfect capital mobility. The ability of that country to move its domestic interest rate while maintaining its exchange rate will depend on
A) the degree of development of its financial markets.
B) the degree of capital controls.
C) the amount of foreign exchange it holds.
D) all of the above
E) both A and B
D
Economics
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Which of the following is TRUE of the Federal Reserve System?
a) It is controlled by the executive branch of the federal government. b) It is subject to oversight from Congress. c) It is not the central bank of the United States. d) It was established as part of the U.S. Constitution.
Economics
In reality, idle resources must exist in the economy in order for the multiplier process to lead to an increase in Real GDP
Indicate whether the statement is true or false
Economics