Economics MCQs

4475 MCQs  (Page 124 of 448)

Attempt Economics Mcqs Quiz
Floating exchange rates are ____ in the short run?
A. Stable
B. Predictable
C. Volatile
D. Depreciating
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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
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The competitive advantage from a devaluation is likely to be offset by _______ and ________?
A. Higher import prices, higher wages increases
B. Lower export prices, lower imports volumes
C. Higher import prices, lower export prices
D. Higher wage increases lower import volumes
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In the short run the level of floating exchange rates is determined mainly by ?
A. Interest rates
B. Competitiveness
C. Trade
D. Speculation
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Which fixed exchange rates and no private capital flows, to correct a balance of payments deficit, the central bank will _______ and ________ ?
A. Buy foreign exchange, sell domestic currency
B. Sell foreign exchange buy domestic currency
C. Buy foreign exchange buy domestic currency
D. Sell foreign exchange sell domestic currency
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When the $/£ exchange rate rises the pound _____ and when the $/£ rates falls the pound ________?
A. Depreciates, appreciates
B. Revalues, devalues
C. Appreciates, depreciates
D. Becomes more expensive becomes cheaper
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In a fixed exchange rate regime, the central the exchange rate ?
A. selling, increase
B. buying reduce
C. selling, reduce
D. buying increase
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Starting from a position of internal and external balance a reduction in aggregate demand will cause a current account ?
A. Deficit
B. Surplus
C. Revaluation
D. Devaluation
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Within the circular flow of income, an increase in domestic income will tend to increase ?
A. Exports
B. Taxes
C. Inventories
D. Imports
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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
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Word of the Day
26 Jul
Simultaneously
at the same time.
ایک ہی وقت میں، ایک ساتھ، بیک وقت

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