Your income will increase if the Federal Reserve buys a Treasury bill from you and pays you with a check from the Fed

In order to maintain a fixed exchange rate when demand for a domestic currency falls, the government must:

a) use its foreign currency reserves to buy domestic currency. b) use domestic currency to buy more foreign currency. c) print more money to boost the money supply. d) reduce interest rates to attract more demand for domestic currency.

What are the types of institution banks used to conduct foreign business?

A) corporations B) central banks C) commercial banks D) agency offices, subsidiary banks, and foreign branches E) state-owned enterprises