Which of the Following Statements Is True of a Country

question 71

Multiple Choice

Which of the following statements is true of a country that has a gold standard exchange Jrate system?

• A) A country running a deficit in its balance of payment would experience an outflow of gold which would force it to increase the price of gold.
• B) A country running a deficit in its balance of payment would experience an outflow of gold which would force it to decrease the price of gold.
• C) A country running a deficit in its balance of payment would experience an outflow of gold which would force it to reduce its money supply.
• D) A country running a deficit in its balance of payment would experience an outflow of gold which would force it to increase its money supply.

---

Definitions:

Resamples

The process of taking repeated samples from observed data, often with replacement, to perform statistical inference.

Standard Deviation

A statistic that measures the dispersion or variation of a set of values from their mean, indicating how spread out the values are.

Allowable Sampling Error

The maximum error that can be tolerated in the results from a sample survey, determined by the researcher.

Confidence Level

The probability that a confidence interval will capture the true population parameter, expressed as a percentage.