perfect international capital mobility suggests that international funds will be responsive to ________ differentials?

Related Mcqs:

1. When capital mobility is perfect interest rate differentials will tend to be offset by ?

   A. Price difference B. balance of payments difference C. current account differences D. expected exchange rate changes...

2. A fixed exchange rate, plus perfect capital mobility ________ the scope for monetary policy ?

   A. enhances B. undermines C. encourages D. facilitates...

3. The most important source of wage differentials are ?

   A. regional variation B. unionization C. relative danger D. skills...

4. Which of the following explanations of wage differentials is not likely to be true ?

   A. Men have more human capital than women B. Employers in competitive markets are bigots C. Men have more job experience than women D. None of the above...

5. The theory of the second best suggests that in the absence of perfect competition a privatized industry should charge a price of ?

   A. p = Z B. P = MC + Z C. p = MC D. P = MC – Z...

6. The idea that suggests that poverty is self-perpetuating because poor nations are unable to save and invest enough to accumulate the capital stock that would help them grow is ?

   A. the vicious circle of poverty hypothesis B. the dependency theory C. neo-colonialism D. the under-consumptionist hypothesis...

7. Referring to the above table, the U.S balance of international indebtedness suggests that the U.S is a net ?

   A. debtor B. creditor C. spender D. exporter...

8. In the absence of international capital controls, central banks set ________ to provide the correct incentive for speculators?

   A. money supply targets B. income policy C. interest rates D. inflation targets...

9. A monetary union means ________, ________ and ________?

   A. permanently fixed capital movements floating exchange rates a fixed structure of interest rates B. permanently fixed exchange rates, free capital movements, a single interest rates C. a common currency a single central bank, common monetary policy D. a common currency floating exchange rates common monetary policy...

10. A profit maximizing firm is perfect competition produces where ?

    A. Total revenue is maximized B. Marginal revenue equals zero C. Marginal revenue equals marginal cost D. Marginal revenue equals average cost...