Based on the Premise That, Other Things Equal, Countries Would

question 54

Multiple Choice

Based on the premise that, other things equal, countries would prefer a fixed exchange rate, which of the following statements is NOT true?

• A) Fixed rates provide stability in international prices for the conduct of trade.
• B) Fixed exchange rate regimes necessitate that central banks maintain large quantities of international reserves for use in the occasional defense of the fixed rate.
• C) Fixed rates are inherently inflationary in that they require the country to follow loose monetary and fiscal policies.
• D) Stable prices aid in the growth of international trade and lessen exchange rate risks for businesses.

Understand the role of personal interpretation in emotional responses to failure.

Recognize non-depressive states and how they differ from depressive conditions.

Understand the mechanisms and effects of antidepressant drugs.

Compare the advantages and disadvantages of drug therapy and psychotherapy in treating depression.

---

Definitions:

Hippocampal Damage

Harm or injury to the hippocampus, an area of the brain involved in forming new memories and spatial navigation.

Procedural Memory

A type of long-term memory for performing specific tasks, not requiring conscious thought for actions or skills learned through repetition.

Explicit Memory

A type of long-term memory involving the conscious recollection of factual information, previous experiences, and concepts.

Korsakoff's Syndrome

A chronic memory disorder often caused by severe deficiency of thiamine (vitamin B1), usually due to long-term alcohol abuse.