Which Chain of Events Would Promote Payments Equilibrium for a Surplus

question 100

Multiple Choice

Which chain of events would promote payments equilibrium for a surplus nation,according to the price-adjustment mechanism?

• A) Increasing money supply--increasing domestic prices--rising imports--falling exports
• B) Increasing money supply--falling domestic prices--rising imports--falling exports
• C) Decreasing money supply--increasing domestic prices--falling imports--rising exports
• D) Decreasing money supply--decreasing domestic prices--falling imports--rising exports

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Definitions:

Information Searches

The process of seeking out information and data to make informed decisions or solve problems.

Buying Decision Behaviour

The process consumers go through in recognizing a need, searching for information, evaluating alternatives, making a purchase, and post-purchase evaluation.

Limited Problem Solving

A decision-making process involving relatively straightforward and simple considerations, often used for routine or familiar purchases.

Decision-Making Continuum

This concept describes the range of processes from simple to complex that consumers go through when deciding which products or services to purchase.