The Following Example Supports Which Extension to the Monetary Approach

question 36

Multiple Choice

The following example supports which extension to the Monetary Approach to Exchange rates: The chairman of a central bank announces a new monetary policy.Immediately,there is a change in the exchange rate.

• A) News approach
• B) Trade balance approach
• C) Equilibrium approach
• D) Overshooting approach

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Definitions:

Trade Name

The marketed name under which a product is sold, often protected as a registered trademark.

Filter Needle

A needle equipped with a filter, used to remove particulate matter from medications during withdrawal from a vial or before injection.

Nembutal

A brand name for pentobarbital, a barbiturate used as a sedative and for euthanasia.