Other Things Being Equal, Foreign Governments and Corporations Would Demand

question 3

Multiple Choice

Other things being equal, foreign governments and corporations would demand ____ U.S. funds if their local interest rates were lower than U.S. rates. Therefore, for a given set of foreign interest rates, foreign demand for U.S. funds is ____ related to U.S. interest rates. ​

• A)less; inversely
• B)more; positively
• C)less; positively
• D)more; inversely

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Definitions:

Rating Scale

A rating scale is a tool used to evaluate or assess various attributes, behaviors, or characteristics, providing a continuum along which measured entities can be placed according to quantitative or qualitative criteria.

Stressful Event

Any event or situation that causes significant anxiety, pressure, or strain to an individual.

Final Play

The last action or series of actions in a game that determine the outcome, especially in sports.

Pressure

The use of persuasion, influence, or intimidation to make someone do something, or the physical force exerted on or against an object.