Assume a country experiences heavy capital outflows. What is the first round effect on the real risk-free interest rate?

Freeways in large cities tend to be congested during rush hours to the point where offer little or no advantage over non-freeway routes because

A) drivers generally ignore marginal benefits and costs. B) drivers usually ignore marginal benefits and costs during rush hours. C) no monetary fee is charged for the use of freeways during rush hours. D) not enough freeways have been constructed due to special interests' control of the government. E) people need to get to work and the demand for freeway travel is consequently inelastic during rush hours.

When the central bank of some country prints large quantities of money, that county's currency loses value both in terms of the goods and services it buys and in terms of the amount of foreign currencies it can buy

a. True b. False Indicate whether the statement is true or false