Everything Else Held Constant,if a Central Bank Makes an Unsterilized

question 44

Multiple Choice

Everything else held constant,if a central bank makes an unsterilized ________ of foreign assets,then the domestic money supply will ________ and the domestic currency will appreciate.

• A)purchase;increase
• B)purchase;decrease
• C)sale;increase
• D)sale;decrease

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Definitions:

Contributions

Services, money, or ideas provided to a common fund, project, or cause, often to achieve a shared goal or benefit.

Teamwork Effect

refers to the combined effort of a group working together effectively to achieve common goals, often resulting in higher productivity and creativity.

Aberration

A departure from what is considered normal or expected, often referring to a deviation from a moral standard or normal state.

Elusive

Hard to find, catch, or achieve; difficult to remember or define.