Critics of the Balance of Payments Approach to Exchange Rate

question 32

Multiple Choice

Critics of the balance of payments approach to exchange rate determination point to the emphasis on ________ of currency and capital rather than ________ of money or financial assets.

• A) flows; stocks
• B) stocks; flows
• C) import; export
• D) export; import

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Definitions:

Deviation IQ Scores

A method of calculating an individual's IQ score relative to the average IQ scores of their age group.

Intelligence Test Scores

Quantitative measures obtained from assessments designed to evaluate a person's cognitive abilities in relation to their age group.

Intelligence Quotients

A measure of a person's intellectual abilities in relation to an average score, determined by standardized tests.

Validity

A quality of tests that actually measure what they are supposed to measure.