The Balance of Payments Constraint Refers to the Limits On

question 7

Multiple Choice

The balance of payments constraint refers to the limits on:

• A)domestic macroeconomic policy, arising from a shortage of international reserves.
• B)currency convertibility observed in most developing countries.
• C)macroeconomic policy resulting from IMF conditionality.
• D)exchange rate policy imposed by flexible exchange rates.

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Definitions:

Classical Conditioning

An instructional method where learning arises from the association between a naturally present stimulus and one from the environment.

Relaxed

A state of being free from tension and anxiety.

Conditioned Response

A learned response to a previously neutral stimulus that becomes associated with a conditioned stimulus through conditioning.

Dentist's Drill

A tool used by dentists to remove decay from teeth and prepare them for fillings.