In the Monetary Small Open-Economy Model with a Fixed Exchange

question 32

Multiple Choice

In the monetary small open-economy model with a fixed exchange rate,a temporary decrease in domestic total factor productivity in the absence of any other shocks

• A) increases the current account surplus and increases the domestic money supply.
• B) increases the current account surplus and decreases the domestic money supply.
• C) increases the domestic money supply and decreases the current account surplus.
• D) decreases the domestic money supply and decreases the current account surplus.
• E) decreases the current account surplus and increases the price level.

---

Definitions:

Reliable Cables

Cabling systems known for their durability, consistent performance, and low failure rate, often used in telecommunications and data transmission.

Cluster Sample

A sampling method where the population is divided into clusters, and a random sample of these clusters is chosen for analysis.

Rows

In the context of data, rows represent individual records or observations in a database or table.

Average Age

The mean age of a group of individuals, calculated by adding their ages together and dividing by the total number of individuals.