This preview shows page 1. Sign up to view the full content.
Unformatted text preview: 80. When money can move freely across borders, policy makers must choose between A. exchange-rate stability and an economic growth. B. exchange-rate stability and inflation. C. exchange-rate stability and an independent monetary policy. D. exchange-rate stability and capital controls. 81. The Mexican Peso Crisis was touched off by A. an unsurprising announcement by the Mexican government to devalue to peso against the dollar by 14 percent. B. an unexpected announcement by the Mexican government to devalue to peso against the dollar by 14 percent. C. an announcement by the Mexican government to enact a currency board arrangement with the U.S. dollar. D. contagion from other Latin American and Asian financial markets....
View Full Document
This note was uploaded on 11/09/2011 for the course FIN IFMG201 taught by Professor Eun during the Spring '11 term at Michigan Flint.
- Spring '11