Under an International Regime of Fixed Exchange Rates, Countries with a BOP

question 43

Multiple Choice

Under an international regime of fixed exchange rates, countries with a BOP ________ should consider ________ their currency while countries with a BOP ________ should consider ________ their currency.

• A) deficit, revaluing; surplus, revaluing
• B) deficit, devaluing; surplus, devaluing
• C) surplus, devaluing; deficit, revaluing
• D) surplus, revaluing; deficit, devaluing

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Definitions:

Dishabituation

The renewal of attention to a stimulus following a change, after initial habituation (or decreased response) to the same or similar stimuli.

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired: a response which is at first elicited by the second stimulus is eventually elicited by the first stimulus alone.

Conditioned Stimulus

A previously neutral stimulus that, after association with an unconditioned stimulus, comes to trigger a conditioned response.

Unconditioned Stimulus

In classical conditioning, a stimulus that naturally and automatically triggers an unconditioned response without the need for prior learning.