One of the Most Important and Most Visible Roles of the IMF

question 37

Multiple Choice

One of the most important and most visible roles of the IMF is to

• A)hold regular negotiations over tariff reductions.
• B)investigate countries that are charged with being unfair traders.
• C)provide loans to countries that need capital to develop their economies.
• D)intercede by invitation when countries cannot pay their international debts.

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Definitions:

Block Pricing

A pricing strategy where different quantities of a product or service are sold at different prices, usually implying that larger quantities are sold at a lower per-unit price.

First-Degree Price Discrimination

Practice of charging each customer her reservation price.

Marginal Revenue

The increase in revenue resulting from the sale of one additional unit of a product or service.

Consumer Surplus

The difference between the total amount that consumers are willing and able to pay for a good or service and the total amount that they actually do pay.