Severe Fiscal Imbalances Can Directly Trigger a Currency Crisis Since

question 18

Multiple Choice

Severe fiscal imbalances can directly trigger a currency crisis since

• A)investors fear that the government may not be able to pay back the debt and so begin to sell domestic currency.
• B)the government may stop printing money.
• C)the government may have to cut back on spending.
• D)the currency must surely increase in value.

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Definitions:

Proposition

A suggested plan or course of action.

O Proposition

In traditional logic, an O proposition is a type of categorical statement that asserts some S are not P, where S and P are the subject and predicate respectively.

Contrary

Opposite in nature, direction, or meaning; conflicting with each other.

Contraries

In the traditional square of opposition, a pair of categorical propositions that, in virtue of their logical form, could not both be true but could both be false (A and E).