In the foreign exchange market, U.S. residents wishing to purchase foreign exports or foreign real and financial assets must:
A) demand U.S. dollars by supplying foreign currency.
B) demand U.S. dollars by supplying U.S. dollars.
C) supply U.S. dollars by demanding foreign currency.
D) none of the above.
C
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Which of the following leads to the tragedy of the commons?
A) The use of common pool resources above the socially optimal level B) The low level of satisfaction derived from the use of common pool resources C) The high rate of taxation on common pool resources D) The tendency of consumers to use common pool resources without paying for them
A commercial bank's reserves consist of
A) capital and U.S. Treasury securities. B) vault cash and U.S. Treasury securities. C) vault cash and deposits with the Federal Reserve. D) deposits with the Federal Reserve and U.S. Treasury securities.