Under a credible system of fixed nominal exchange rates... A.The Central Bank can adjust the interest rate as it deems appropriate for smoothing domestic output fluctuations B.Domestic inflation will be approximately equal to the inflation rate of the country to which the domestic currency is pegged C.Public debt can be monetised, i.e. via government bonds bought by the Central Bank against newly created money D.All of these options E.None of these options

If the Columbian peso appreciates against the Brazilian Real at a faster rate than the Brazilian inflation rate exceeds the Columbian inflation rate, then the Brazilian Real appears __. Select all that apply. appreciated depreciated overvalued undervalued devalued revalued none of these

Consider the basic AD/AS macro model in long-run equilibrium that experiences a positive AD shock. In the short run, the price level and output In the long run, the price level and output O a. Decreases; decreases; decreases further; decreases further. O b. Decreases; decreases; decreases further; returns to potential output. O c. Increases; increases; increases further; increases further. O d. Increases; decreases; increases further; returns to potential output. O e. Increases; increases; increases further; returns to potential output.

1-)What is the difference between a real rate and a nominal rate?  Say you got a raise of 10% of your salary but inflation increased by 15%, what is your real percent increase in salary?  How should we use this in every day life to make changes that will make us wealthier over time.   2-) How can we use the Aggregate Supply and Demand Model to help us understand what the government is doing in the current Covid19 economic crisis? 3-) What is the basic difference between Fiscal and Monetary Policy, how are they used during recessions? 4-)

Suppose market partidpants expect the krona to appredlate relattve to the dollar. In the following graph, shft the supply curve, the demand curve, or both to illustrate the effects of the expectations described. D D QUANTITY (krona) True or False: The expectation that the krona would appreciate actually caused the krona to depreciate. O True O False PRICE (dollars per krona)