Flexible exchange rates are determined by

A) the government of the exporting country.
B) the government of the importing country.
C) the forces of supply and demand.
D) the IMF.

C

Economics

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Suppose that for the nation of Calliope, the debt-to-GDP ratio is 325%, the average annual growth rate is 1.1%, the average inflation rate is 0.5%, and the average nominal interest rate is 2.2%

Based on this information, determine if fiscal policy is sustainable in Calliope, and if not, what the primary budget deficit would have to be to make fiscal policy sustainable.

Economics

A derivative is any financial instrument whose value depends on the:

a. extent of asset diversification. b. expected rate of inflation. c. purchasing power of the people. d. value of an underlying asset.

Economics