If,under a System of Fixed Exchange Rates,the Equilibrium Value of the Dollar

question 47

Multiple Choice

If,under a system of fixed exchange rates,the equilibrium value of the dollar is below the official exchange rate for the dollar,there will be a(n)

• A) shortage of dollars.
• B) excess demand for dollars.
• C) black market for dollars.
• D) rise in the price of a dollar.
• E) dollar glut.

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Definitions:

The State

Consists of the institutions responsible for formulating and carrying out a country’s laws and public policies.

Social Control

Mechanisms, strategies, and processes that regulate individual and group behavior, aiming to conform to the norms and rules of a society.

Power

refers to the ability or capacity to influence or control the behavior of others, often within a social, political, or economic context.

Political Revolution

Is the overthrow of political institutions by an opposition movement and replacement by new institutions.