Question

6) Which of the following would be the most pessimistic with regard to the ability of the government to reduce unemployment by monetary of fiscal policy? a. Monetarists b. Keynesians c. rational expectations school d. Klingons e. supply-siders 7) Which of the following would tend to increase a country's imports? a. an increase in the domestic rate of interest b. an increase in the exchange rate ( i.e an increase in the price of foreign exchange) c. an increase in domestic income d. an increase in foreign prices e. none of the above 8) Which of the following would decrease a country's exports ? a. a decrease in the exchange rate( i.e a an decrease in the price of foreign exchange) b. an increase in the domestic rate of interest c. an increase in domestic price d. an increase in domestic income e. none of the above 9) Which of the following would indicate a conflict between the goals of full employment and balance of payments equilibrium ? a. inflation and a balance of payments deficit b. unemployment and a balance of payments surplus c. unemployment and a balance of payments deficit d. full employment and a balance of payments surplus e. none of the above would indicate a conflict