(Figure: Shocks and Integration) Suppose That Policymakers in Colombia, Peru

question 30

Multiple Choice

(Figure: Shocks and Integration) Suppose that policymakers in Colombia, Peru, and Uruguay care only about being able to use policy in response to shocks? Using the graph, which of the following is most likely to join a currency area with the other countries?

• A) Colombia
• B) Peru
• C) Uruguay
• D) Peru and Colombia

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