Multiple Choice
Which of the following statements is correct?
A) The overall sum of all the entries in the balance of payments must be positive.
B) The overall sum of all the entries in the balance of payments must be zero.
C) If the current account is in deficit, then the capital account must also be in deficit.
D) If the current account is in surplus, then the capital account must also be in surplus.
Correct Answer:
Verified
Correct Answer:
Verified
Q1: When a currency is allowed to float
Q2: Are the following shocks internal or external?<br>(a)
Q4: If countries attempt to achieve similar rates
Q5: All currencies other than the domestic currency
Q6: Under the Bretton Woods pegged exchange rate
Q7: Exchange rate movements will reinforce monetary policy
Q8: Which of the following is not a
Q9: If an exchange rate falls but is
Q10: Which of the following measures is suitable
Q11: Assume that there is a balance of