Which of the following transactions is not a use of funds for Country A?
a. Increases in Country A's central bank reserve assets.
b. Dividends Country A pays to the rest of the world.
c. Loans to Country A from the rest of the world.
d. All of these are uses of funds.
e. None of the above is a use of funds.
.C
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Refer to Figure 1A.1. Assume that the graph in this figure represents the demand and supply curves for orange juice. An increase in the price of apple juice, which is a substitute for orange juice, would be represented by a shift from
A) Demand 1 to Demand 2. B) Demand 2 to Demand 1. C) Supply 1 to Supply 2. D) Supply 2 to Supply 1.
Suppose the public holds $200 billion in M2 and the velocity of the M2 money supply is 5. What is the value of nominal GDP?
A) $500. B) $1,000. C) $1,500. D) That information cannot be determined.