Which of the Following Is NOT an Argument Against Dollarization

question 19

Multiple Choice

Which of the following is NOT an argument against dollarization?

• A) Dollarization causes a loss of sovereignty over domestic monetary policy.
• B) Dollarization removes currency volatility against the dollar.
• C) Dollarization causes the country to lose the power of seigniorage.
• D) The central bank of the dollarized country loses the role of lender of last resort.

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Definitions:

Self-disciplined

The ability to control one's feelings and overcome weaknesses, allowing for the pursuit of long-term goals with persistence.

Classical Conditioning

Principles stemming from Ivan Pavlov’s digestion experiments that help people understand the most elementary type of learning: how people acquire uncomplicated habits and reflexes.

Habits

Regular tendencies or practices, especially ones that are hard to give up.

Reinforcement Schedules

The strategies used in behavior modification that determine how and when a response will be rewarded.