A.A decrease in the money supply lowers the interest rate, while an increase in the money supply raises the interest rate, given the price level and output.B.An increase in the mon...

A.balance equals the change in its net foreign wealth.B.balance equals the change in its foreign wealth.C.surplus equals the change in its foreign wealth.D.deficit equals the chang...

Japan's external surplus, represented in the equation X-M=S-I, shows that their amount of export beyond imports of goods and services is the same as the amount of:A.domestic saving...

A.a rise in a country’s expected inflation rate will eventually cause a more-than proportional rise in the interest rate that depositors of its currency offer in order to accommod...

A.depreciation always has a favorable effect on the currentB.import dependency reinforces the effects of depreciation on the current account.C.high elasticity of exports is suffici...

A.A depreciation of a country’s currency makes its goods cheaper for foreigners.B.A depreciation of a country’s currency makes its goods more expensive for foreigners.C.A depreci...