I think the answer should be B. The federal budget is reduced to tackle the deficit problem is not shift the AD curve. Hope it helped you, and have a great day.
Answer and Explanation:
Partial Balance sheet
Investments
Stock investments (At fair value) $110,090
Debt investments (at fair value) $163,100
Stock investments (At equity) not given: $0
Total investment) $276190
The answer is D. an exchange of currencies happens when you "trade" one currency for another, which can also be thought of buying one currency in the form of another currency.
So for example, if you were going to exchange the US Dollar for Mexican Pesos, the exchange rate is 1 USD to 17 MXN. Therefore, to get 17 MXN, you need to pay 1 USD.
Does that make sense?
