If a country wants to keep the domestic currency overvalued against a foreign currency:

A) it will buy both the foreign and domestic currency.
B) it will sell both the foreign and domestic currency.
C) it will buy the domestic currency and sell the foreign currency.
D) it will buy the foreign currency and sell the domestic currency.

C

Economics

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In the long run, imports are paid for by

A) investment. B) exports. C) dollars. D) gold or other universally accepted monies.

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If the price elasticity of demand is zero for all prices, the demand curve is

A. horizontal. B. vertical. C. neither horizontal nor vertical.

Economics