A decrease in the supply of dollars to holders of Mexican pesos would cause the:

a. equilibrium quantity of dollars to decrease.
b. equilibrium quantity of dollars to increase.
c. equilibrium quantity to remain unchanged.
d. all of these.

a

Economics

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Explain the relationship between the interest rate on a bond and the default risk on a bond

What will be an ideal response?

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Insurers try to minimize moral hazard by

a. only selling policies to individuals with high ethical standards. b. requiring advance payments of premiums. c. charging higher premiums to individuals than to groups. d. charging deductibles and coinsurance. e. refusing to sell insurance to individuals with chronic illnesses.

Economics