During the economic crisis of 2008, the Fed acquired the authority to
a. pay interest to commercial banks on their reserves.
b. determine the size of the budget deficit or surplus of the Federal Government.
c. require the Treasury to print and issue additional currency.
d. purchase gold in sufficient amounts to back the U.S. dollar.
A
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Under pressure from Japan, the United States, and Europe, China announced it switched from pegging the yuan against the dollar to linking the value of the yuan to a 'basket' of currencies. The result of this change was
A) the value of the yuan increased slightly relative to the dollar. B) the value of the yuan has increased dramatically and is beginning to remove the trade imbalance between the United States and China. C) the value of the yuan has become very responsive to changes in demand and supply in the foreign currency market. D) the value of the yuan has decreased dramatically and has further spurred Chinese exports.
If the U.S. has exports of $1.5 trillion and imports of $2.2 trillion, then the U.S
a. sells more overseas then it buys from overseas; it has a trade deficit. b. sells more overseas then it buys from overseas; it has a trade surplus. c. buys more from overseas then it sells overseas; it has a trade deficit. d. buys more from overseas then it sells overseas; it has a trade surplus.