The Marshall-Lerner condition deals with the impact of currency depreciation on:
A: Domestic income
B: Domestic absorption
C: Purchasing power of money balances
D: Relative prices
A: Domestic income
B: Domestic absorption
C: Purchasing power of money balances
D: Relative prices
举一反三
- The Marshall-Lerner condition can be used to determine ( ). A: Balance of payments B: Impact degree of currency depreciation on international balance of payments C: The impact of exchange rate fluctuations on international balance of payments D: Degree of currency depreciation
- The Marshall-Lerner condition applies only if ηx+ηm > 1, in whichηx+ηm is ( ) A: supply price elasticity of domestic import and export commodities B: demand income elasticity of domestic imports and exports commodities C: expected Elasticity of demand for domestic imports and exports commodities D: demand price elasticity of domestic imports and exports commodities
- In order to prevent home currency from appreciating, a central bank need _________。( ) A: sell domestic currency B: purchase domestic currency C: purchase foreign currency D: issue more money
- One implication of an empirical investigation of the Marshall-Lerner condition is that, in the ________, a real ________ in a nation's currency is likely to ________ the country's current account balance. ( ) A: long-run; appreciation; improve B: short-run; depreciation; improve C: long-run; depreciation; improve D: short-run; appreciation; improve
- Central Bank sometimes carry out equal foreign and domestic asset transactions in opposite directions to nullify the impact of their foreign exchange operations on the domestic money supply. This policy is called sterilized foreign exchange intervention.