(完整版)中级宏观经济学付费版题库13重访开放经济：蒙代尔—弗莱明模型与汇率制度

Name: _________________________ Date: ______________1. Compared to a closed economy, an open economy is one that:A) allows the exchange rate to float.B) fixes the exchange rate.C) trades with other countries.D) does not trade with other countries.2. The Mun dell -Flem ing model assumes that:A) prices are flexible, whereas the IS -_M model assumes that prices are fixed.B) prices are fixed, whereas the IS -_M model assumes that prices are flexible.C) as in the IS -_M model, prices are fixed.D) as in the IS -_M model, prices are flexible.3. The Mundell -Fleming model is a ___ ___ model for a___ ___ open economyA) short-run; smallB) short-run; largeC) long-run; largeD) long-run; small4. In the Mundell -Fleming model:A) the exchange rate system must have a floating exchange rate.B) the exchange rate system must have a fixed exchange rate.C) it makes no difference whether the exchange rate system has a floating or a fixed exchange rate.D) the behavior of the economy depends on whether the exchange rate system has a floating orfixed exchange rate.5. In the Mundell -Fleming model, the domestic interest rate is determined by the:A) intersection of the _M and IS curves.B) domestic rate of inflation.C) world rate of inflation.D) world interest rate.6. In a small open economy with perfect capital mobility, if the domestic interest rate were to rise abovethe world interest rate, then __________ would drive the domestic interest rate back to the level of the world interest rate.A) capital inflowB) capital outflowC) the central bankD) a decline in domestic saving7. Assuming there is perfect capital mobility, compared to a large open economy, a small open economyis one in which the:A) exchange rate is fixed.B) exchange rate is floating.C) domestic interest rate equals the world interest rate.D) domestic interest rate is not equal to the world interest rate.8. In a small open economy a decrease in the exchange rate will ____ net exports and shift the ____curve.A) increase; ISdecrease; ISB)C) increase; LMD) decrease;LM9. If short-r un equilibrium in the Mun dell -Flem ing model is represe nted by a graph with Y along thehorizontal axis and the exchange rate along the vertical axis, then the IS*curve:A) slopes downward and to the right because the higher the exchange rate, the lower the level ofnet exports and, therefore, of short-run equilibrium income in the goods market.B) is vertical because there is only one investment level that is consistent with the world interestrate.C) is vertical because the exchange rate does not enter into the IS*equation.D) slopes downward and to the right because the higher the exchange rate, the higher the level ofnet exports and, therefore, of short-run equilibrium income in the goods market.10. In the Mun dell -Flem ing model on a Y -e graph, the curves labeled IS* and LM * are labeled that wayas a reminder that:A) the price level is held constant at the world price level p*.B) the interest rate is held constant at the world interest rate r*.C) the exchange rate is held constant at the world exchange rate e*.D) output is held constant at the full employment level.11. If short-r un equilibrium in the Mun dell -Flem ing model is represe nted by a graph with Y along thehorizontal axis and the exchange rate along the vertical axis, then the LM*curve:A) slopes upward and to the right because at a higher income a higher interest rate is needed toincrease velocity.B) is vertical because monetary velocity is independent of the interest rate.*C) is vertical because the exchange rate does not enter into the LM*equation.D) slopes upward and to the right because a higher exchange rate leads to a higher income.12. In the Mun dell -Flem ing model, the exoge nous variables are the:A) world interest rate, the price level, and the exchange rate.B) level of government spending, taxes, and income.C) exchange rate and level of income.D) price level, world interest rate, monetary policy, and fiscal policy.13. The intersection of the IS*and LM*curves shows the _______ and the ______ at which both thegoods market and the money market are in equilibrium.A) interest rate; price levelB) price level; exchange rateC) level of output; exchange rateD) level of output; price level14. Under a floating system, the exchange rate:A) fluctuates in response to changing economic conditions.B) is maintained at a predetermined level by the central bank.C) is changed at regular intervals by the central bank.D) fluctuates in response to changes in the price of gold.15. In a small open economy with a floating exchange rate, an effective policy to increase equilibriumoutput is to:A) increase government spending.B) increase taxes.C) increase the money supply.D) decrease the money supply.16. In a small open economy with a floating exchange rate, an effective policy to decrease equilibriumoutput is to:A) decrease government spending.B) decrease taxes.C) increase the money supply.D) decrease the money supply.17. In a small open economy with a floating exchange rate, the exchange rate will appreciate if:A) the money supply is increased.B) the money supply is decreased.C) government spending is decreased.D) taxes are increased.18. In a small open economy with a floating exchange rate, the exchange rate will depreciate if:A) the money supply is decreased.B) import quotas are imposed.C) government spending is increased.D) taxes are decreased.19. In a small open economy with a floating exchange rate, if the government adopts an expansionaryfiscal policy, in the new short-run equilibrium:A) income and the exchange rate will both rise.B) the exchange rate will rise, but income will remain unchanged.C) income will rise, but the exchange rate will remain unchanged.D) both income and the interest rate will rise.20. In a small open economy with a floating exchange rate, a rise in government spending in the newshort-run equilibrium:A) chokes off investment, but not by as much as the new government spending.B) chokes off an amount of investment just equal to the new government spending.C) attracts foreign capital, thus raising the exchange rate and reducing net exports, but not by asmuch as the new government spending.D) attracts foreign capital, thus raising the exchange rate and reducing net exports by an amountjust equal to the new government spending.21. In a small open economy with a floating exchange rate, the supply of real money balances is fixedand a rise in gover nment spe nding:A) raises the in terest rate, so that in come must rise to main ta in equilibrium in the moneymarket.B) raises the interest rate so that net exports must fall to maintain equilibrium in the goods market.C) cannot cha nge the in terest rate so that net exports must fall to maintain equilibrium in thegoods market.D) cannot cha nge the in terest rate so in come must rise to mai nta in equilibrium in the moneymarket.Use the followi ng to an swer questi ons 22-23:Exhibit: IS* -LM *22. (Exhibit: IS* -LM *) A small open economy with a floating exchange rate is initially at equilibrium Awith IS*1, LM * 1, equilibrium excha nge rate e2, and equilibrium output Y1. If there is an in crease ingover nment spe nding to IS*2, the new equilibrium will be at ___ , holdi ng everythi ng else con stant.A) AB) BC) CD) D23. (Exhibit: IS* -_M *) A small open economy with a floating exchange rate is initially at equilibrium A**with IS1*, _M1*, equilibrium exchange rate e2, and equilibrium output Y1. If there is a monetary*expansion to _M 2, the new equilibrium will be at _____ , holding everything else constant.A) AB) BC) CD) D24. In a small open economy with a floating exchange rate, if the government decreases the moneysupply, then in the new short-run equilibrium:A) income falls and the exchange rate rises.B) the exchange rate falls and income rises.C) income remains unchanged but the exchange rate rises.D) the exchange rate remains unchanged but income falls.25. In a small open economy with a floating exchange rate, if the government increases the moneysupply, then in the new short-run equilibrium the:A) interest rate falls and the level of investment rises.B) exchange rate falls and net exports increase.C) interest rate falls but the level of investment does not rise.D) exchange rate falls but net exports do not increase.26. Accord ing to the Mun dell -Flemi ng model for a small ope n economy with flexible excha nge rates,if the Federal Reserve cannot alter domestic interest rates, changes in the money supply could still influence aggregate income through changes in the:A) exchange rate.B) price level.C) level of government spending.D) tax rates.27. In a small open economy with a floating exchange rate, if the government imposes an import quota,then in the new short-run equilibrium the IS*curve shifts to the right, raising the exchange rate:A) but not raising net exports or income.B) and net exports but not income.C) and income but not net exports.D) net exports and income.3 28. In a small open economy with a floating exchange rate, if the government imposes a tariff on foreigngoods, the n in the new short-run equilibrium:A)imports will decrease while exports remai n con sta nt, leadi ng to a rise in net exports. B)imports will decrease and exports will in crease, leadi ng to a rise in net exports. C)imports will decrease and exports will decrease by an equal amount. D) both imports and exports will rema in un cha nged.Use the followi ng to an swer questi ons 29-30:29. (Exhibit: Shifting IS* and LM*) A small open economy with a floating exchange rate is initially in* * equilibrium at A with IS | , LM 1 . Holding all else constant, if the government imposes a tariff onimports in order to protect domestic jobs, the n theB)LM 1*; LMLM 1*; LMC)* IS 1*; IS 2D) IS 1*; IS 32 curve will shift to30. (Exhibit: Shifting IS* and LM*) A small open economy with a floating exchange rate is initially in**equilibrium at A with IS1*, LM 1 . Holding all else constant, if domestic consumers developgreater preferences for imported goods, then the ________ curve will shift to ___ .A) */LM1*; LM 2*B)LM1*; LM 3*C)IS1*; IS2*D)IS1*; IS3*31. Under a fixed system, the exchange rate:A) fluctuates in response to changing economic conditions.B) is maintained at a predetermined level by the central bank.C) is changed at regular intervals by the central bank.D) fluctuates in response to changes in the price of gold.32. To maintain a fixed-exchange-rate system, if the exchange rate moves below the fixed-exchange-ratelevel, then the central bank must:A) buy foreign currency.B) sell foreign currency from reserves.C) raise taxes.D) decrease government spending.33. If the Fed announced it would fix the exchange rate at 100 yen per dollar, but with the current moneysupply the equilibrium exchange rate was 150 yen per dollar, then:A) arbitrageurs would sell yen in the marketplace.B) arbitrageurs would buy yen from the Fed.C) the money supply would fall until the market exchange rate was 100 yen per dollar.D) the money supply would rise until the market exchange rate was 100 yen per dollar.34. Under a fixed-exchange-rate system, the central bank of a small open economy must:A) have a reserve of its own currency, which it must have accumulated in past transactions.B) have a reserve of foreign currency, which it can print.C) allow the money supply to adjust to whatever level will ensure that the equilibrium exchange rateequals the announced exchange rate.D) follow a rule specifying a constant growth rate for the money supply.35. If there is a fixed-excha nge-rate system, the n in the short run described by the Mun dell -Flem ingmodel:A) the nominal exchange rate is fixed, but the real exchange rate is free to vary.B) the real exchange rate is fixed, but the nominal exchange rate is free to vary.C) both the nominal and real exchange rates are fixed.D) the nominal exchange rate is fixed, but whether the real exchange rate is fixed depends onwhether the central bank follows a rule of constant growth of the money supply.36. If there is a fixed-exchange-rate system, then in the long run:A) the nominal exchange rate is fixed, but the real exchange rate is free to vary.B) the real exchange rate is fixed, but the nominal exchange rate is free to vary.C) both the nominal and real exchange rates are fixed.D) the nominal and real exchange rates vary by a fixed amount.37. During the era of the gold standard, the price of gold in England:A) was always equal to the price of gold in the United States.B) was always a little higher than the price of gold in the United States, but it could not be higherby more than the cost of transporting gold from the United States to England.C) was always a little lower than the price of gold in the United States, but it could not be lowerthan the cost of transporting gold from England to the United States.D) could be higher or lower than the price of gold in the United States, but not by more than thecost of transporting gold between the two countries.38. In a small open economy with a fixed exchange rate, if the government increases governmentpurchases, then in the new short-run equilibrium:A) the exchange rate rises but income does not rise.B) income rises but the exchange rate does not rise.C) both income and the exchange rate rise.D) neither income nor the exchange rate rises, as the money supply contracts.39. In a small ope n economy with a fixed excha nge rate, if the gover nment in creases gover nmentpurchases, then in the process of adjusting to the new short-run equilibrium the money supply:A) in creases to keep the excha nge rate un cha nged, thus augme nti ng the effect of government spe nding on in come.B) decreases to keep the excha nge rate un cha nged, thus offsett ing the effect of government spe nding on in come.C) rema ins un cha nged, and there is no effect of gover nment spe nding on in come.D) remai ns un cha nged to keep the in terest rate at the world in terest rate, so that government spe nding reduces in come.40. In a small ope n economy with a fixed excha nge rate, an effective policy to in crease equilibriumoutput is to:A) decrease gover nment spe nding.B) decrease taxes.C) in crease the money supply.D) decrease the money supply.Use the follow ing to an swer questi ons 41-42:Exhibit: IS* -LM *41. (Exhibit: IS* -_M *) A small open economy with a fixed exchange rate e2 is initially at equilibrium Awith * *IS1*, _M1*, and equilibrium output Y1. If there is an increase in government spending to*IS*2, the new equilibrium will be at __ __, holding everything else constant.A) AB) BC) CD) D42. (Exhibit: IS* -_M *) A small open economy with a fixed exchange rate e2 is initially at equilibrium A* * * with IS1*, _M1*, and equilibrium output Y1. If there is a monetary expansion to _M2*, the new equilibrium will be at , holding everything else constant.A) AB) BC) CD) D43. In a small open economy with a fixed exchange rate, if the central bank tries to increase the moneysupply, then in the new short-run equilibrium:A) income rises.B) income falls.C) the exchange rate falls.D) income remains constant.44. In a small open economy with a fixed exchange rate, if the country devalues its currency, then in thenew short-run equilibrium the exchange rate _____ , and the _M* curve shifts to the ______ .A) decreases; leftB) increases; leftdecreases; rightC)D) increases; right45. In the Mun dell -Flemi ng model with fixed excha nge rates, attempts by the cen tral bank to in creasethe money supply lead the exchange rate to fall, giving arbitrageurs the incentive to _____ thecentral bank, which causes the money supply to _____ .A) sell domestic currency to; increaseB) sell domestic currency to; decreaseC) buy domestic currency from; increaseD) buy domestic currency from; decrease46. In the Mun dell -Flemi ng model with fixed excha nge rates, attempts by the cen tral bank to decreasethe money supply:A) lead to a lower equilibrium level of income.B) lead to a higher equilibrium level of income.C) must be abandoned in order to maintain the fixed exchange rate.D) must be offset by expansionary fiscal policy.47. A revaluation of a currency under a fixed-exchange-rate system occurs when the level at which thecurrency is fixed is:A) increased.B) decreased.C) allowed to float.D) kept fixed within a band48. A devaluation of a currency under a fixed-exchange-rate system occurs when the level at which the currency is fixed is:A) increased.B) decreased.C) allowed to float.D) kept fixed within a band49. During the Great Depression, countries that devalued their currencies generally _____ whereascountries that maintained the old exchange rate _____ .A) suffered longer; experienced no depressionB) recovered relatively quickly; experienced no depressionC) suffered longer; recovered relatively quicklyD) recovered relatively quickly; suffered longer50. In a small open economy with a fixed exchange rate, if the government imposes an import quota, thennet exports:A) decrease but the money supply falls and income falls.B) increase, the money supply increases, and income increases.C) are unchanged but the money supply falls and income falls.D) are unchanged, the money supply is unchanged, and income is unchanged.51. In the Mun dell -Flem ing model with fixed excha nge rates, the impositi on of trade restrict ions results inan increase in net exports because:A) investment increases.B) investment decreases.C) saving increases.D) saving decreases.52. Accord ing to the Mun dell -Flem ing model, un der:A) floating exchange rates, a monetary expansion raises income whereas a fiscal expansion doesnot, but under fixed exchange rates, a fiscal expansion raises income whereas a monetaryexpansion does not.B) both floating and fixed exchange rates, a monetary expansion raises income, but a fiscalexpansion does not.C) both floating and fixed exchange rates, a fiscal expansion raises income, but a monetaryexpansion does not.D) floating exchange rates, a fiscal expansion raises income whereas a monetary expansion doesnot; but under a fixed exchange rate, a monetary expansion raises income whereas a fiscalexpansion does not.53. Accord ing to the Mun dell -Flem ing model, un der floati ng excha nge rates a fiscal expa nsion:A) lowers the exchange rate, but a monetary expansion raises it.B) raises the exchange rate, but a monetary expansion or an import restriction lowers it.C) or an import restriction lowers the exchange rate, but a monetary expansion raises it.D) or an import restriction raises the exchange rate, but a monetary expansion lowers it.54. Accord ing to the Mun dell -Flem ing model, un der fixed excha nge rates expa nsionary fiscal policycauses income to _____ , and under flexible exchange rates expansionary fiscal policy causesincome to ____ .A) increase; increaseB) increase; remain unchangedC) remain unchanged; remain unchangedD) remain unchanged; increase55. Accord ing to the Mun dell -Flemi ng model, i n an economy with flexible excha nge rates,expansionary fiscal policy causes the exchange rate to _____ and expansionary monetary policy causes the exchange rate to _____ .A) rise; riserise; fallB)fall; fallC)D) fall; rise56. Accord ing to the Mun dell -Flemi ng model, i n an economy with flexible excha nge rates,expansionary fiscal policy causes net exports to _____ , and expansionary monetary policy causes net exports to _____ .A) increase; increaseB) increase; decreaseC) decrease; decreaseD) decrease; increase57. Accord ing to the Mun dell -Flemi ng model, import restricti ons in an economy with flexible exchange rates cause net exports to __ and in an economy with fixed exchange rates import restrictions cause net exports to ____ .A) increase; increaseB) increase; remain unchangedC) remain unchanged; remain unchangedD) remain unchanged; increase58. Accord ing to the Mun dell -Flemi ng model, un der flexible excha nge rates expa nsionary monetary policy _ increase income, and under fixed exchange rates expansionary monetary policy _____ increase income.A) can; canB) can; cannotC) cannot; canD) cannot; cannot59. The risk premium included in the interest rate of small open economies incorporates:A) country risk and expectations of future exchange-rate changes.B) the law of one price.C) inefficient activity by arbitrageurs.D) capital mobility.60. Country risk in eluded in the risk premium in in terest rates refers to the:A) additi onal costs in curred whe n loa ns are made in curre ncies other tha n the domestic currency.B)possibility that loans in some countries may not be repaid because of political upheaval. C)expectati on that the excha nge rate may cha nge in the future. D) pote ntial cha nge in the terms of trade betwee n coun tries.Use the following to answer questions 61-62:Exhibit: Risk Premium61. (Exhibit: Risk Premium) A small open economy with a floating exchange rate is initially in* * * equilibrium at A with 1^ , LM 1 . If there is an in crease in the riskpremium, the n LM 1 willshift to _____ a nd IS i will shift to ________ . A) LM 2*;IS ；B) LM ；;IS ；C)LM ；; IS ； D) LM IS ；LM 1 . If the establishment of a new government in the country decreases the risk premium, then63. In order to compensate for an expected future decline in the Japanese yen relative to the U.S. dollar, theinterest rate in Japan must be _______ the interest rate in the United States. A)higher than B)lower than C)equal to D) fixed relative to64. In the Mun dell -Flem ing model, if political turmoil raises the risk premium in a coun try's in terest rate, thenthe exchange rate will _____________ .A)increase B)decrease C)remain constant D) either increase or decrease, depending on whether the IS* or LM* curve shifts more.65. In the Mun dell -Flemi ng model, expectati ons that a curre ncy will lose value in the future will cause thecurrent exchange rate to:A)increase in the present. B)decrease in the present. C)remain constant in the present. D) decrease only in the future.66. An increase in income generated by an increase in the country risk premium will not occur if there is a(n) 62.A small open economy with a floating exchange rate is initially in equilibrium at A with * IS1 , LM 1 will shift toA)LM 2* ; IS *2 B)LM 2* ; IS 3* C) LM 3* ; IS *2 D) LM 3* ; IS 3*and IS 1* will shift to _______sufficient to offset the decline in the demand for money caused by the higher riskpremium.A) decrease in the money supplyB) increase in the money supplyC) decrease in government spendingD) fall in the price level67. An increase in income generated by an increase in the country risk premium will not occur if there is a(n)sufficient to offset the decline in the demand for money caused by the higher riskpremium.A) increase in the money supplyB) decrease in government spendingC) increase in the price level caused by more expensive importsD) fall in the price level caused by less expensive imports68. Accord ing to the Mun dell -Flemi ng model with floati ng excha nge rates, political un certa inty in Mexico in1994 caused the risk premium on Mexican interest rates to _____________ and the Mexicanexchange rate to _____ .A) increase; increaseB) increase; decreaseC) decrease; increaseD) decrease; decrease69. At the end of 1994 the Mexican government was unable to maintain a fixed exchange rate because it:A) ran out of foreign-currency reserves.B) was unable to increase the supply of Mexican pesos.C) was forced by the IMF to let the peso float.D) joined an exchange-rate union.70. “ Crony capitalism ” refers to situations in which banks make loans to those borrowers with the most:A) profitable investment projects.B) political clout.C) ability to repay the loans.D) creditworthy borrowers.71. One argument favoring a floating-exchange-rate system is that it:A) makes international trade less difficult.B) minimizes destabilizing speculation by international investors.C) allows monetary policy to be used for other purposes.D) helps prevent excessive growth in the money supply.72. One argument favoring a fixed-exchange-rate system is that it:A) allows monetary policy to be used for stabilizing output and prices.B) reduces exchange-rate uncertainty, thereby promoting more international trade.C) leads to excessive growth of the money supply.D) requires no actions on the part of the central bank to implement.73. A monetary union with a common currency is an example of a:A) fixed-exchange-rate system.B) flexible-exchange-rate system.C) small open economy.D) large open economy.74. Some economists argue that monetary union will not work as well in Europe as it does in the United Statesfor all of the following reasons except:A) labor is not as mobile in Europe as it is in the United States.B) there is no strong central government that can use fiscal policy in Europe as there is in the UnitedStates.C) there is no common language in Europe as there is in the United States.D) there is no European central bank as there is in the United States.75. If the exchange rate of currency A is fixed to a unit of currency B, then a potential problem for the centralbank in charge of currency A is:A) running out of currency A.B) running out of currency B.C) generating excessive revenue from seigniorage.D) ineffective fiscal policy.76. A speculative attack on a currency occurs when:A) a central bank switches from a floating to a fixed exchange rate.B) investors' perceptions change, making a fixed exchange rate untenable.C) a country accepts dollarization.D) a central bank adopts a currency board to back the domestic currency with a foreign currency.77. A change in investors' perceptions that make a fixed exchange rate untenable is known as:A) a speculative attack.B) dollarization.C) seigniorage.D) a floating currency board.78. An arrangement by which a central bank holds enough foreign currency to back each unit of the domesticcurrency is called a:A) floating exchange rateB) dollarization.C) monetization.D) currency board.79. When a country abandons its national currency and adopts the currency of the United States, this is knownas:A) a floating exchange rate system.B) dollarization.C) a speculative attack on the United States.D) a currency board.80. The principal economic loss when a country dollarizes is the loss of:A) seigniorage revenue.B) income tax revenue.C) monetary stability.D) a fixed exchange rate with the dollar.81. The “ impossible trinity ” refers to the idea that it is impossciboluenftoryr ato simultaneously have:A) low inflation, low unemployment, and a rapid rate of GDP growth.B) free capital flows, a fixed exchange rate, and an independent monetary policy.C) high interest rates, a budget deficit, and a trade deficit.D) an expansionary fiscal policy, a contractionary monetary policy, and a flexible exchange rate.。