Multiple Choice
Suppose the U.S. interest rate is 6 percent and the world interest rate is 5 percent. The U.S. interest rate differential is
A) -1 percent.
B) 1.2 percent.
C) 1 percent.
D) -0.83 percent.
Correct Answer:

Verified
Correct Answer:
Verified
Q391: If the world real interest rate falls,
Q392: If the target exchange rate is 100
Q393: Which of the following are included in
Q394: If the current account balance is $235
Q395: The demand curve for U.S. dollars slopes
Q397: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the figure
Q398: All of the following are a current
Q399: How does the Fed intervene in the
Q400: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the figure
Q401: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The above table