Brazil began indexing various categories of income to O a. slow inflation. O b. keep prices from rising even faster. c. improve a balance of payments deficit. d. protect citizens from the effects of inflation.
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- Assume that initially PPP holds, if the inflation rate in your country falls relative to the inflation rate in the United and will States. The domestic currency is. Select one: a. undervalued; depreciate O b. overvalued; depreciate O c. remain unchanged O d. overvalued; appreciate O e. undervalued; appreciateIdentity several parties likely to he helped and hurt by inflation.Why are inflationary dangers lower in the high-income economies than in low-income and middle-income economies?
- An increase in a country's rate of inflation is apt to: a. lower its nominal rate of interest and encourage an inflow of capital. b. reduce its imports and improve its trade balance. c. worsen its balance of trade and balance of payments. d. decrease demand for the country's currency. Don't answer by pen paper and don't use chatgpt otherwise we will give dounvoteIn the long run, with relative PPP, if country A consistently has higher inflation than country B, then country A's currency will be against country B's. O appreciating O depreciating O maintaining its valueSuppose the real exchange rate is 10, the domestic price level is 8, and the foreign price level is 4. (i) What is the nominal exchange rate?e - enor-P Use the expression: rea! - PrOT ,where ereal is real exchange rate, enor is nominal exchange rate, P is domestic price level and Pro, is foreign price level (ii) Suppose the real exchange rate rises by 10%, the inflation rate in the domestic country is 6%, and the inflation rate in the foreign country is 4%. By what percentage does the nominal exchange rate change?
- Assume that the Japanese government wants to reduce inflation. Which of the following would be an appropriate action for the Japanese government? A. Sell yen for foreign currency B. Decrease interest rates C. None of the options are correct D. Buy yen with foreign currency E. Increase interest ratesHow is fiscial policy in the United States, in support of Ukraine war efforts, affecting the U.S. Economy? What I mean by that is is inflation going up due to government spending? Are jobs impacted? Is production increasing or decreasing, etc...8. If nominal national income increased by 20% over a certain period of time while real national income increased by 10%, then a. b. C d. e everybody in the economy became worse off inflation has decreased during this time period. the labour force increased by 10% the price level has declined by about 10%. the price level has increased by approximately 10%. Show Transcribed Text 9. Suppose Canada's exchange rate with the U.S. dollar falls from 1.21 to 1.13. This fall indicates a(n) Canadian dollars to of the Canadian dollar, which means it takes purchase one U.S. dollar. a appreciation; more b. appreciation, fewer c. depreciation, more d. depreciation; fewer
- Question 38 If you go to the bank and notice that a dollar buys more Ghanaian cedis than it used to, then the dollar has appreciated. Other things the same, the appreciation would make Americans less likely to travel to Ghana. O appreciated. Other things the same, the appreciation would make Americans more likely to travel to Ghana. depreciated. Other things the same, the depreciation would make Americans less likely to travel to Ghana. depreciated. Other things the same, the depreciation would make Americans more likely to travel to Ghana.Starting at equilibrium situation, if Philippines inflation suddenly becomes ____ than South Korea’s inflation, this forced ____ pressure on the value of the peso. A. higher; upward B. higher; downward C. lesser; upward D. lesser; downward B and CWhat will happen if the people expects that the value of a currency will increase? a.There will be new monetary policies b.The supply of that currency will rise c.There will be no effect d.The demand for that currency will rise