If an economy has a flexible exchange rate and it chooses to issue $10 million in bonds, what will happen according to the Monetary approach?
A) It will have to allow its currency to appreciate.
B) It will have to allow its currency to depreciate.
C) It will have to decrease its foreign exchange reserves.
D) It will have to increase its foreign exchange reserves.
A
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An example of a payroll tax in the United States is
A) taxes on corporate profit. B) Social Security taxes. C) property taxes on real estate. D) excise taxes on gasoline.
If the price elasticity of demand for opera tickets is estimated to be 4.5, then a 10 percent increase in opera ticket prices would be expected to cause a
a. 4.5 percent decrease in quantity demanded. b. 4.5 percent increase in quantity demanded. c. 45 percent decrease in quantity demanded. d. 45 percent increase in quantity demanded. e. 450 percent increase in quantity demanded