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SIB675: Exercise Related to Chapter 6: Government Influence on Exchange Rates1. A weak Canadian dollar is normally expected to cause:a. low unemployment and high inflation in Canadab. high unemployment and high inflation in Canadac. low unemployment and low inflation in Canadad. high unemployment and low inflation in Canada2. Consider two countries that trade with each other, called X and Y. According to the text, inflation in Country X will have a greater impact on inflation in Country Y under the ______ system. Now, consider two other countries that trade with each other, called A and B. Unemployment in Country A will have a greater impact on unemployment in Country B under _______ system:3. A primary result of the Bretton Woods Agreement of 1944 was: