Multiple Choice
Why has the IMF come in for widespread criticism for its handling of the Asian financial crisis?
A) It refused to make loans to any of the countries whose currencies were under speculative attack.
B) Its policies did not sufficiently punish speculators with losses, giving rise to moral hazard.
C) Its policies led to unsustainably low interest rates in a number of Asian countries.
D) Its policies failed to lead to sufficient hardship for citizens in a number of Asian countries, giving rise to moral hazard.
Correct Answer:
Verified
Correct Answer:
Verified
Q83: If the central bank buys foreign assets,<br>A)the
Q84: Under a European monetary union,<br>A)European central banks
Q85: If the Fed wants to reduce the
Q86: Capital inflow restrictions<br>A)receive less support from economists
Q87: In the U.S. balance-of-payments accounts, the statistical
Q89: Members of the ERM<br>A)agreed to buy and
Q90: In the early 1930s<br>A)countries that abandoned the
Q91: An unsterilized intervention in which the central
Q92: Which of the following is true of
Q93: In what sense does the IMF act