Suppose That International Trade Is the Only Kind of International

question 99

Multiple Choice

Suppose that international trade is the only kind of international transaction between the United States and Canada. The United States currently is experiencing a balance of trade deficit with Canada. What would happen to the United States and Canadian money supplies if the United States and Canada both used the gold standard?

• A) The U.S. money supply would rise and the Canadian money supply would fall.
• B) Both the U.S. and Canadian money supplies would rise.
• C) The U.S. money supply would fall and the Canadian money supply would rise.
• D) Both the U.S. and the Canadian money supplies would fall.

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Definitions:

Fenestrated

Having openings or perforations, often used to describe a type of surgical material or anatomical structure with natural or artificial holes.

Window

An opening in a wall or structure, typically filled with glass, that lets light and air into the space and allows occupants to see out.

Opening

An initial part or opportunity in various contexts, such as in an argument, a job, or an anatomical structure.

Aseptic Technique

A set of practices and procedures performed under sterile conditions to prevent contamination and infection.