Multiple Choice
Hyperinflation typically leads to:
A) a preference for domestic over foreign currency.
B) a decrease in real money balances.
C) a decrease in barter.
D) a more efficient transactions system.
E) an increase in real tax revenues collected by the government.
Correct Answer:
Verified
Correct Answer:
Verified
Q34: What are the primary causes of hyperinflations?
Q48: Debt monetisation occurs when:<br>A) a higher deficit
Q49: Seignorage is equal to:<br>A) the percentage growth
Q50: The primary deficit is:<br>A) interest on the
Q51: During most episodes of hyperinflation:<br>A) the inflation
Q53: In the long run, a decrease in
Q54: If the government runs a primary deficit
Q55: The debt ratio will increase by more
Q56: A rule of thumb for Australia is
Q57: The official measure of the deficit becomes