Which One of the Following Statements Is the Most True

question 56

Multiple Choice

Which one of the following statements is the most true?

• A) If central banks are not sterilizing and the home country has a balance of payments surplus, any associated increase in the home central bank's foreign asset implies an increased home money supply.
• B) If central banks are not sterilizing and the home country has a balance of payments surplus, any associated increase in the home central bank's foreign asset implies a decreased home money supply.
• C) If central banks are not sterilizing and the home country has a balance of payments surplus, any associated increase in the home central bank's foreign asset implies an increased home money demand.
• D) If central banks are not sterilizing and the home country has a balance of payments surplus, any associated decrease in the home central bank's foreign asset implies an increased home money supply.
• E) If central banks are not sterilizing and the home country has a balance of payments shortage, any associated decrease in the home central bank's foreign asset implies an increased home money supply.

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Definitions:

General Damages

In a tort case, an amount awarded to compensate individuals for the nonmonetary aspects of the harm suffered, such as pain and suffering; not available to companies.

Actual Value

The true or fair market value of an asset or property as determined by objective assessment or appraisal.

Tort Action

A legal claim in civil law where a plaintiff seeks compensation for harm or injury caused by the defendant's wrongful act, neglect, or infringement of rights.

Noneconomic General Damages

Compensation for non-monetary losses in a lawsuit, such as pain and suffering or emotional distress.