Under a system of fixed exchange rates, excess demand by Germans for the Swiss franc represents a potential

A. German balance-of-payments deficit with Switzerland.
B. German balance-of-payments surplus with Switzerland.
C. German trade surplus with Switzerland.
D. Swiss trade surplus with Germany.

Answer: A

Economics

You might also like to view...

What is the theory of Second Best?

What will be an ideal response?

View

Economics

Decrease in personal income taxes will ________ the expenditure curve:

A) decrease. B) increase. C) not change. D) none of the above.

View

Economics