21. A country that gives foreign aid to another country can be viewed as
A. Importing goodwill from the latter.
B. Exporting goodwill to the latter.
22. In 2007 the United States had a current account deficit. The current account deficit implies that the
United States
A. Had a surplus on legal consulting and engineering services
B. Produced more output than it consumed
C. Consumed more output than it produced
D. None of the above
23. The current account is divided into four finer categories:
A. Merchandise trade, services, factor income, and statistical discrepancy.
B. Merchandise trade, services, factor income, and unilateral transfers
C. Merchandise trade, services, portfolio investment, and unilateral transfers
D. Merchandise trade, services, factor income, and direct investment
24. The factors of production are
A. Land, labor, capital, and entrepreneurial ability.
B. Interest, wages and dividends
C.
Payments and receipts of interest, dividends, and other income on foreign investments that were
previously made.
D. None of the above
25. Factor income
A. Consists largely of interest, dividends, and other income on foreign investments.
B. Is a theoretical construct of the factors of production, land, labor, capital, and entrepreneurial ability.
C. Is generally a very minor part of national income accounting, smaller than the statistical discrepancy.
D. None of the above
The entries in the "current account" and the "capital account", combined together, can be outlined (in
alphabetic order) as:
26. Current account includes
A. (i), (ii), and (iii)
B. (ii), (iii), and (vii)
C. (iv), (v), and (vii)
D. (i), (v), and (vi)
27. Capital account includes
A. (i), (ii), and (iii)
B. (ii), (iii), and (vii)
C. (iv), (v), and (vii)
D. (i), (v), and (vi)
28. The "J-curve effect" shows:
A.
the initial deterioration and the eventual improvement of a country's trade balance following a currency
depreciation
B.
the initial improvement and the eventual depreciation of a country's trade balance following a currency
depreciation
C. the trade balance's lack of responsiveness to the exchanges rate changes
D. none of the above
29. The "J-curve effect"
A. Happens most of the time, in the short run.
B. Actually only occurs in about 40 percent of the cases according to a study by SebastXXXXX XXXXX
C. Is a long-run phenomenon, not a short-run one.
D. None of the above.
30. The J-curve effect received wide attention when
A. The British trade balance worsened after a strengthening of the pound in 1967.
B. The British trade balance worsened after a devaluation of the pound in 1967.
C. The British trade balance improved after a devaluation of the pound in 1967.
D. None of the above
A. Importing goodwill from the latter.
B. Exporting goodwill to the latter.
22. In 2007 the United States had a current account deficit. The current account deficit implies that the
United States
A. Had a surplus on legal consulting and engineering services
B. Produced more output than it consumed
C. Consumed more output than it produced
D. None of the above
23. The current account is divided into four finer categories:
A. Merchandise trade, services, factor income, and statistical discrepancy.
B. Merchandise trade, services, factor income, and unilateral transfers
C. Merchandise trade, services, portfolio investment, and unilateral transfers
D. Merchandise trade, services, factor income, and direct investment
24. The factors of production are
A. Land, labor, capital, and entrepreneurial ability.
B. Interest, wages and dividends
C.
Payments and receipts of interest, dividends, and other income on foreign investments that were
previously made.
D. None of the above
25. Factor income
A. Consists largely of interest, dividends, and other income on foreign investments.
B. Is a theoretical construct of the factors of production, land, labor, capital, and entrepreneurial ability.
C. Is generally a very minor part of national income accounting, smaller than the statistical discrepancy.
D. None of the above
The entries in the "current account" and the "capital account", combined together, can be outlined (in
alphabetic order) as:
26. Current account includes
A. (i), (ii), and (iii)
B. (ii), (iii), and (vii)
C. (iv), (v), and (vii)
D. (i), (v), and (vi)
27. Capital account includes
A. (i), (ii), and (iii)
B. (ii), (iii), and (vii)
C. (iv), (v), and (vii)
D. (i), (v), and (vi)
28. The "J-curve effect" shows:
A.
the initial deterioration and the eventual improvement of a country's trade balance following a currency
depreciation
B.
the initial improvement and the eventual depreciation of a country's trade balance following a currency
depreciation
C. the trade balance's lack of responsiveness to the exchanges rate changes
D. none of the above
29. The "J-curve effect"
A. Happens most of the time, in the short run.
B. Actually only occurs in about 40 percent of the cases according to a study by SebastXXXXX XXXXX
C. Is a long-run phenomenon, not a short-run one.
D. None of the above.
30. The J-curve effect received wide attention when
A. The British trade balance worsened after a strengthening of the pound in 1967.
B. The British trade balance worsened after a devaluation of the pound in 1967.
C. The British trade balance improved after a devaluation of the pound in 1967.
D. None of the above
Comments
Post a Comment