According to Bernanke's Policy Guide,a Full-Point Decrease in Long-Term Interest

question 3

Multiple Choice

According to Bernanke's policy guide,a full-point decrease in long-term interest rates results in a

• A)$10 billion stimulus for the economy.
• B)$20 billion stimulus for the economy.
• C)$200 billion stimulus for the economy.
• D)$1,000 billion stimulus for the economy.

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Definitions:

Multidomestic Strategy

A strategy whereby global firms respond to differentiated needs and preferences in each local market in which they operate.

Meganational Strategy

A strategy whereby global firms focus on increasing profitable growth by reaping cost reductions from economies of scale and other advantages of global integration.

Transnational Strategy

A strategy whereby global firms take a hybrid approach that combines the meganational and multidomestic strategies, simultaneously offering the benefits of both global and local advantages.

Location Specificity

The importance and impact of a geographical location on a business's operations, strategy, and success.