A Krone/euro Peg Alone Is

question 21

Multiple Choice

A krone/euro peg alone is

• A) not enough to provide automatic stability in the face of any monetary shocks that shift the AA schedule.
• B) enough to provide automatic stability in the face of any monetary shocks that shift the AA schedule.
• C) not enough to provide automatic stability in the face of any monetary shocks that shift the AA schedule, provided fiscal policy will be used as well.
• D) enough to provide automatic stability in the face of any monetary shocks that shift the AA schedule, provided the government runs a budget deficit.
• E) enough to provide partial stability in the face of smaller monetary shocks that shift the AA schedule.

---

Definitions:

Increase Shareholders

The process or goal of augmenting the number of individuals or entities that own shares in a company.

Retain Job

The ability or action of maintaining one's position of employment.

Argumentum Ad Hominem

A logical fallacy where the argument is directed against a person's character rather than addressing the issue at hand.

Guilt by Association

The concept of assigning blame to an individual based on their associations or relationships rather than direct evidence of wrongdoing.