Unless you accept his 'final offer' your opponent threatens to scrap the whole deal:
a. His threat is more believable if both parties would be harmed by scrapping the deal
b. His threat is more believable if he has better outside options
c. His threat is more believable if only he is hurt from the deal falling through
d. His threat is more believable if he has balked at this course of action in the past
b
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Assume that foreign capital flows from a nation increase due to political uncertainly and increased risk. If the nation has highly mobile international capital markets and a fixed exchange rate system, what happens to the net nonreserve international borrowing/investing balanceand monetary base in the context of the Three-Sector-Model? a. The net nonreserve international borrowing/investing
balance rises and monetary base rises. b. The net nonreserve international borrowing/investing balance rises and monetary base falls. c. The net nonreserve international borrowing/investing balance and monetary base fall. d. The net nonreserve international borrowing/investing balance and monetary base remain the same. e. There is not enough information to determine what happens to these two macroeconomic variables.
Which of the following is correct?
a. A bank's deposits at the Federal Reserve counts as part of the bank's reserves. The Federal Reserve pays interest on these deposits. b. A bank's deposits at the Federal Reserve counts as part of the bank's reserves. The Federal Reserve does not pay interest on these deposits. c. A bank's deposits at the Federal Reserve does not count as part of the bank's reserves. The Federal Reserve pays interest on these deposits. d. A bank's deposits at the Federal Reserve does not count as part of the bank's reserves. The Federal Reserve does not pay interest on these deposits.