Sample questions for exam 2 - Sample questions for exam 2 1...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Sample questions for exam 2 1. According to the video “The Crash” a major cause of financial crises was that: a. Small countries pegged their currencies to the US$ in order to encourage foreign investors. Easy credit in the US gave speculators like George Soros more money with which to speculate against foreign currencies. b. After the US lost a lot of money propping up the Mexican Peso when that country had a crisis, the US would not intervene to help other countries facing crisis. c. Both b and c are correct. d. None of the above was mentioned as a cause of international crises. 2. If a country with a relatively high inflation rate maintains a pegged exchange rate against the currency of a relatively low inflation country, very quickly the country will find: 3. A floating exchange rate has the advantage of :
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern