巴罗宏观经济学课件 (6)

宏观经济学课件O.BlanchardMacro-economics6thchapter18Macroeconomics, 6e (Blanchard/Johnson)Chapter 18: Openness in Goods and Financial Markets18.1 Multiple Choice Questions1) A tariff isA) a foreign bond.B) an order for foreign goods that have not yet been delivered.C) a barter arrangement between importers and exporters.D) a tax on imported goods.E) a restriction on the quantity of imported goods allowed into the country.Answer: DDiff: 12) In the U.S., over the past forty years,A) exports as a percentage of GDP have increased, while imports has a percentage of GDP have decreased.B) exports as a percentage of GDP have decreased, while imports has a percentage of GDP have increased.C) both exports and imports as a percentage of GDP have decreased.D) both exports and imports as a percentage of GDP have increased.E) both exports and imports as a percentage of GDP have remained constant.Answer: DDiff: 13) In 2010, which of the following countries had the highestratio of exports to GDP?A) GermanyB) BelgiumC) JapanD) United StatesE) AustriaAnswer: BDiff: 14) The ratio of a country's exports to its GDP mustA) be greater than one.B) be less than one.C) equal the ratio of imports to GDP.D) be larger than the ratio of imports to GDP.E) none of the aboveAnswer: EDiff: 15) Which of the following best defines the real exchange rate?A) the price of foreign bonds in terms of domestic bondsB) the price of foreign currency in terms of domestic currencyC) the price of domestic goods in terms of foreign goodsD) the price of domestic currency in terms of foreign currencyE) none of the aboveAnswer: CDiff: 16) Which of the following, all else fixed, will cause the real exchange rate to increase?A) a nominal depreciationB) a reduction in the foreign price levelC) a reduction in the domestic price levelD) all of the aboveE) none of the aboveAnswer: BDiff: 27) From the perspective of the United States, an increase in the nominal exchange rate will cause which of the following?A) the dollar becomes less expensive to foreignersB) foreign goods are more expensive to AmericansC) foreign currency is more expensive to AmericansD) American goods are more expensive to foreignersE) none of the aboveAnswer: DDiff: 18) When the dollar appreciates relative to the pound, the pound price of the dollarA) increases.B) decreases.C) does not change.D) increases or decreases, depending on the amount of the depreciation.E) changes in the next period.Answer: ADiff: 19) Suppose there is a real depreciation of the dollar. Which of the following may have occurred?A) foreign currency has become more expensive in dollars.B) foreign goods have become more expensive to Americans.C) the foreign price level has increased relative to the U.S. price level.D) all of the aboveE) none of the aboveAnswer: DDiff: 110) Suppose that over the past decade, U.S. inflation is less than that in Mexico. Further assume that during this same period, the dollar depreciates relative to the Mexican peso. Given this information,A) the real exchange rate remains unchanged.B) the real exchange rate must decrease.C) the real exchange rate must increase.D) the real exchange rate can increase or remain the same, but not decrease.E) the real exchange rate can decrease or remain the same, but not increase.Answer: BDiff: 211) America's largest trading partner isA) Canada.B) Japan.C) Mexico.D) European Union.E) none of the aboveAnswer: DDiff: 112) Another name for "current account transactions" isA) "capital account transactions."B) "investment income."C) "net transfers received."D) "checking account transactions"E) "transactions above the line."Answer: EDiff: 113) Because the U.S. traditionally gives more foreign aid than it receives, the U.S. traditionally has a negative value forA) the capital account balance.B) the trade balance.C) investment income.D) net transfers received.E) all of the aboveAnswer: DDiff: 114) When the U.S. has a current account surplus, we know that it is alsoA) running a balanced trade account.B) lending to the rest of the world.C) borrowing from the rest of the world.D) suffering from negative investment income.E) none of the aboveAnswer: BDiff: 115) The difference between net capital flows and the current account deficit is called theA) capital account surplus.B) capital account deficit.C) international error.D) missing number.E) statistical discrepancy.Answer: EDiff: 116) In a country like Saudi Arabia, which earns substantial income from holding the stocks and bonds of other countries, wewould expectA) GNP to be larger than GDP.B) a current account deficit.C) a current account surplus larger than GNP.D) a current account surplus larger than GDP.E) GDP to be larger than GNP.Answer: ADiff: 117) If the exchange rate between the dollar and the pound (the pound price of the dollar) is currently 1.50, and is expected to be 1.35 in one year, then the expected rate ofA) depreciation of the dollar is 10%.B) depreciation of the dollar is 15%.C) appreciation of the dollar is 10%.D) appreciation of the dollar is 15%.E) none of the aboveAnswer: ADiff: 218) Assume that the uncovered interest parity condition holds. Also assume that the U.S. interest rate is less than the U.K. interest rate. Given this information, we know that investors expectA) the pound to depreciate.B) the pound to appreciate.C) the dollar-pound exchange rate to remain fixed.D) the U.S. interest rate to fall.E) none of the aboveAnswer: ADiff: 219) Assume that the interest rate in a foreign country is 7%and that the foreign currency is expected to depreciate by 3% during the year. For each dollar that a U.S. resident invests in foreign bonds, he/she can expect to get back an approximate total ofA) $.93.B) $.96.C) $1.04.D) $1.07.E) $1.10.Answer: CDiff: 220) Suppose two countries make a credible commitment to fix their bilateral exchange rate. In such a situation, we know thatA) the uncovered interest parity condition no longer holds.B) the real exchange rate must be constant as well.C) each country can freely allow its interest rate to diverge from that of the other country.D) the interest rate in the two countries must be equal.E) neither country will run a trade deficit.Answer: DDiff: 121) In 2010, exports as a percentage of GDP for the United States are approximatelyA) between 1% and 5%B) between 10% and 20%C) between 20% and 40%D) between 40% and 75%E) between 75% and 90%Answer: BDiff: 122) As of 2010, the ratio of exports to GDP for Belgium was approximately equal toA) 20%.B) 40%.C) 60%.D) 81%.Answer: DDiff: 123) If the price level in Japan is 1.0, the price level in the U.S. is 2.0, and it costs 100 Yen to buy one dollar, then the real exchange rate between the U.S. and Japan isA) 2.B) 10.C) 50.D) 100.E) 200.Answer: EDiff: 224) Year-to-year movements in real exchange rates between industrialized countries like the U.S. and Canada are caused mostly byA) changes in relative rates of inflation.B) changes in relative growth rates of output.C) changes in quotas or tariffs.D) changes in capital controls.E) changes in nominal exchange rates.Answer: EDiff: 125) Suppose the U.S. one-year interest rate is 3% per year, while a foreign country has aone-year interest rate of 5% per year. Ignoring risk and transaction costs, a U.S. investor should invest in foreign bonds as long as the expected yearly rate of depreciation of the foreign currency isA) less than 5%.B) greater than 5%.C) greater than 2%.D) less than 2%.E) less than 1%.Answer: DDiff: 226) Which of the following has occurred for the United States since 1960?A) the ratio of exports to GDP (X/Y) and the ratio of imports to GDP (IM/Y) have both increased.B) X/Y has increased while IM/Y has decreased.C) X/Y has decreased and IM/Y has increased.D) X/Y has decreased and IM/Y has decreased.Answer: ADiff: 127) Which of the following has occurred for the United States since 1960?A) the ratio of exports to GDP (X/Y) and the ratio of imports to GDP (IM/Y) have both decreasedB) X/Y has increased while IM/Y has decreasedC) X/Y has decreased and IM/Y has increasedD) X/Y and IM/Y have stayed relatively constantE) none of the aboveAnswer: EDiff: 128) The ratio of exports to GDP for the United States in 2010 is approximately equal toA) 6%.B) 13%.C) 21%.D) 31%.Answer: BDiff: 129) Estimates are that tradable goods in the U.S. account for approximately what share of GDP in the U.S.?A) 10%B) 16%C) 25%D) none of the aboveAnswer: DDiff: 130) In 2010, which of the following countries had the lowest ratio of exports to GDP?A) JapanB) SwitzerlandC) AustriaD) NetherlandsE) United StatesAnswer: EDiff: 131) In 2010, which of the following countries had the highest ratio of exports to GDP?A) United StatesB) GermanyC) JapanD) BelgiumAnswer: DDiff: 132) The differences in the ratios of exports to GDP across countries are believed to be caused primarily byA) trade barriers.B) each country's size.C) monetary policy.D) fiscal policy.E) inflation in the domestic country.Answer: BDiff: 133) The differences in the ratios of exports to GDP across countries are believed to be caused primarily byA) trade barriers.B) each country's size.C) geography.D) all of the aboveE) both B and CAnswer: EDiff: 134) The nominal exchange rate (E) as defined in the text representsA) the number of units of foreign currency you can obtain with one unit of domestic currency.B) the number of units of domestic goods you can obtain with one unit of foreign goods.C) the price of domestic currency in terms of foreign currency.D) none of the aboveE) both A and CAnswer: EDiff: 135) When E increases by 5%, we know thatA) a real appreciation will occur if P decreases by 5%.B) a real depreciation will occur if P also increases by 5%.C) a nominal appreciation will occur.D) a nominal depreciation will occur.Answer: CDiff: 236) When E decreases by 3%, we know thatA) a real appreciation will occur if P also falls by 3%.B) a real depreciation will occur if P increases by 3%.C) nominal appreciation.D) nominal depreciation.Answer: DDiff: 237) A nominal depreciation of the Mexican peso (against all currencies) indicates thatA) the peso price of foreign currency has fallen.B) the Mexican real exchange rate will not change if the price level in Mexico falls.C) the peso price of, for example, the U.K. pound has increased.D) the number of units of foreign currency that one can obtain with one peso has decreased. Answer: CDiff: 238) A nominal appreciation of the Japanese yen (against all currencies) indicates thatA) the yen price of the U.S. dollar has increased.B) the yen price of the U.K. pound has increased.C) the number of units of foreign currency that one can obtain with one yen has increased.D) all of the aboveAnswer: DDiff: 239) Which of the following expressions represents the real exchange rate (ε)?A) E/P.B) EP*/P.C) EP*.D) EP/P*.E) none of the aboveAnswer: DDiff: 240) Which of the following expressions represents the dollar price of foreign currency?A) EP*/PB) EP/P*C) 1/ED) EE) none of the aboveAnswer: CDiff: 141) Assume that the nominal exchange rate decreases by 4%. If prices (both domestic and foreign do not change), we know thatA) foreign goods are now relatively cheaper.B) foreign goods are now relatively more expensive.C) domestic goods are now relatively more expensive.D) both A and CDiff: 242) Assume that the nominal exchange rate increases by 2%. If prices (both domestic and foreign do not change), we know thatA) domestic goods are now relatively cheaper.B) domestic goods are now relatively more expensive.C) foreign goods are now relatively cheaper.D) both B and CAnswer: DDiff: 243) A reduction in the real exchange rate indicates thatA) foreign goods are now relatively cheaper.B) foreign goods are now relatively more expensive.C) domestic goods are now relatively more expensive.D) both A and CAnswer: BDiff: 144) An increase in the real exchange rate indicates thatA) domestic goods are now relatively cheaper.B) domestic goods are now relatively more expensive.C) foreign goods are now relatively cheaper.D) both B and CAnswer: DDiff: 145) Which of the following will cause a real appreciation?A) a reduction in EB) a decrease in PC) an increase in P*D) none of the aboveDiff: 246) Which of the following will cause a real depreciation?A) an increase in EB) a reduction in P*C) a reduction in PD) all of the aboveE) none of the aboveAnswer: ADiff: 147) Which of the following events will cause the smallest change in the real exchange rate (ε)?A) a 6% drop in E and a 6% increase in the foreign price level (P*)B) a 6% increase in the domestic price level (P) and a 6% reduction in P*C) a 6% drop in E and a 6% reduction in P*D) a 3% increase in EE) a 2% increase in E and a 2% increase in PAnswer: CDiff: 248) Which of the following events will cause the largest real depreciation for the domestic economy?A) a 6% reduction in E and a 6% increase in the foreign price level (P*)B) a 6% increase in the domestic price level (P) and a 6% reduction in P*C) a 6% reduction in E and a 6% reduction in P*D) a 3% increase in EE) a 2% increase in E and a 2% increase in PDiff: 249) Suppose you have one U.S. dollar with which you wish to purchase U.K. (one-year) bonds in period t. Which of the following expressions represents the amount of U.S. dollars you will receive in one year (i.e., period t+1) from purchasing U.K. bonds in period t?A) iB) 1 + i*C) (1 + i*)E e t+1/E tD) (1 + i*)E t/E e t+1E) none of the aboveAnswer: DDiff: 250) Suppose you have one U.S. dollar with which you wish to purchase U.K. (one-year) bonds in period t. Which of the following expressions represents the amount of U.K. pounds you will receive in one year (i.e., period t+1) from purchasing U.K. bonds in period t?A) iB) 1 + i*C) (1 + i*)E e t+1/E tD) (1 + i*)E t/E e t+1E) none of the aboveAnswer: BDiff: 251) Which of the following expressions represents the amount of foreign currency you can obtain with one U.S. dollar?A) E tB) E e t+1C) 1/ E e t+1D) εtE) none of the aboveAnswer: ADiff: 252) For this question, assume the interest parity conditions holds. Also assume that the domestic interest rate is 9% and that the foreign interest rate is 5%. Given this information, we would expect thatA) individuals will only hold foreign bonds.B) individuals will only hold domestic bonds.C) the domestic currency is expected to appreciate by 4%.D) the domestic currency is expected to depreciate by 4%.Answer: DDiff: 253) For this question, assume the interest parity conditions holds. Also assume that the domestic interest rate is 10% and that the foreign interest rate is 7%. Given this information, we would expect thatA) individuals will only hold foreign bonds.B) individuals will only hold domestic bonds.C) the domestic currency is expected to appreciate by 3%.D) the domestic currency is expected to depreciate by 3%.Answer: DDiff: 254) Assume the interest parity condition holds and that individuals expect the dollar to appreciate by 5% during the coming year. Given this information, we know thatA) the interest rate differential between the two countries is less than 5%.B) i < i*.C) i = i*.D) individuals will only hold foreign bonds.E) none of the aboveAnswer: BDiff: 255) Which of the following conditions will occur when two countries are engaged in a credible, fixed exchange rate regime?A) E = 1B) E > 1C) i = i*D) E < 1Answer: CDiff: 256) For this question, assume that the domestic interest rate is 8% and that the foreign interest rate is 6%. And finally, assume that the domestic currency is expected to depreciate by 3% during the coming year. Given this information, we know thatA) individuals will only hold domestic bonds.B) individuals will only hold foreign bonds.C) individuals will be indifferent about holding domestic or foreign bonds.D) the interest parity condition holds.Answer: BDiff: 257) For this question, assume that the domestic interest rate is 6% and that the foreign interest rate 4%. And finally, assume that the domestic currency is expected to appreciate by 3% during the coming year. Given this information, we know thatA) individuals will only hold domestic bonds.B) individuals will only hold foreign bonds.C) individuals will be indifferent about holding domestic or foreign bonds.D) the interest parity condition holds.Answer: ADiff: 258) For this question, suppose the domestic interest rate is 4% and that the foreign interest rate is 7%. And finally, assume that the domestic currency is expected to depreciate by 3% during the coming year. Given this information, we know thatA) individuals will only hold domestic bonds.B) individuals will only hold foreign bonds.C) individuals will be indifferent about holding domestic or foreign bonds.D) the interest parity condition holds.Answer: BDiff: 259) Suppose the domestic interest rate is 3% and that the foreign interest rate is 6%. And finally, assume that the domestic currency is expected to appreciate by 4% during the coming year. Given this information, we know thatA) individuals will only hold domestic bonds.B) individuals will only hold foreign bonds.C) individuals will be indifferent about holding domestic or foreign bonds.D) the interest parity condition holds.Answer: ADiff: 260) Which of the following, all else fixed, will cause the real exchange rate to decrease?A) a nominal appreciationB) an increase in the foreign price levelC) an increase in the domestic price levelD) all of the aboveE) none of the aboveAnswer: BDiff: 261) From the perspective of the United States, a reduction in the nominal exchange rate will cause which of the following?A) the dollar becomes more expensive to foreigners.B) foreign goods are less expensive to AmericansC) foreign currency is less expensive to Americans.D) American goods are less expensive to foreigners.E) none of the aboveAnswer: DDiff: 162) When the dollar depreciates relative to the pound, the pound price of the dollarA) increases.B) decreases.C) does not change.D) increases or decreases, depending on the amount of the depreciation.E) changes in the next period.Answer: BDiff: 163) Suppose that over the past decade, U.S. inflation is greater than that in Mexico. Further assume that during this same period, the dollar appreciates relative to the Mexican peso. Given this information,A) the real exchange rate remains unchanged.B) the real exchange rate must decrease.C) the real exchange rate must increase.D) the real exchange rate can increase or remain the same, but not decrease.E) the real exchange rate can decrease or remain the same, but not increase.Answer: CDiff: 2。