The Balance-Of-Payments Adjustment Mechanism Developed During the 1700s by the English

question 93

Multiple Choice

The balance-of-payments adjustment mechanism developed during the 1700s by the English economist David Hume is the:

• A) Income-adjustment mechanism
• B) Flexible-exchange-rate-adjustment mechanism
• C) Price-adjustment mechanism
• D) Rank-reserve-adjustment mechanism

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Definitions:

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