Under a fixed exchange rate system, at low domestic real interest rates net capital outflows are ________, so the central bank ________ foreign-exchange reserves

The Taylor rule

A) is a rule stating that money should grow at a constant rate. B) is not considered to be a practical policy rule for central banks to follow. C) dictates that the central bank's target interest rate be responsive to real economic activity and to inflation. D) dictates that the nominal interest rate stay constant in the long run.

When considering the price lags of the West behind the East, by the eve of the Civil War the lag was

a. roughly one year. b. six months. c. three months. d. virtually eliminated.