Answer:
29) B) $25,000
30) D) $203400
31) C) $215,100
Explanation:
Fair value of parents held by side will be $25,000.
I believe the answer is: Germany owed large debts to other countries after World War I
After being forced to surrender in world war I, the Allies forced Germany to pay back all the expense that other countries have to made due to the war that Germany initiated as their term of surrender.
This caused a massive increase in Germany's national debt and caused a downturn in their economy.
Answer: All Variables will remain unchanged
Explanation:
Monetary Policy has no effect on a country's domestic currency because it is simply ineffective when it is in a fixed exchange rate regime. This is because, when monetary policy is used, it tends to change the exchange rate but because the Fed will be engaging in a fixed exchange regime, it will act to normalise the exchange rate which will bring the currency back to equilibrium.
For instance, if the Fed embarks on expansionary monetary policy and pegs its currency to the Euro. The expansionary policy will lead to a drop in interest rates which is supposed to help GDP. However as a result of lower rates, the dollar will depreciate and more people will demand Euros. The Fed will intervene to keep the Euro and the Dollar at the same level (fixed exchange) and sell Euros in its reserves while reducing dollars. This will bring the interest rate and currencies back to its original level so there will be no benefit.
Monetary policy is ineffective under a Fixed Rate regime so one of the variables will change.
Answer:
b. permanently reduce the frequency of price changes and temporarily raise unemployment.
Explanation:
In the field of economics, the term 'inflation' may be defined as the rise in the price of an economy for a period of time. When the price level rises or increases, fewer goods can be purchased by each unit of currency. The price of the products increases in the market.
It also affects in the rate of unemployment. But when the inflation is reduce it can temporarily rise the rate of unemployment but it permanently reduces the frequency of the price changes in the economy.