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    Macroeconomics Study Set 39
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    Exam 13: The Open Economy Revisited: the Mundell-Fleming Model and the Exchange-Rate Regime
  5. Question
    The Principal Economic Loss When a Country Dollarizes Is the Loss
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The Principal Economic Loss When a Country Dollarizes Is the Loss

Question 5

Question 5

Multiple Choice

The principal economic loss when a country dollarizes is the loss of:


A) seigniorage revenue.
B) income tax revenue.
C) monetary stability.
D) a fixed exchange rate with the dollar.

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