ADVOCATES OF MONETARY UNION CLAIM THAT THE ADOPTION OF A COMMON C...

114) - TEST BANK CHAPTER 3 WHAT IS MONEY? TÀI CHÍNH TIỀN TỆ
TEST BANK CHAPTER 3 WHAT IS MONEY? TÀI CHÍNH TIỀN TỆ

114) Advocates of monetary union claim that the adoption of a common currency by Germany in 1990

had the advantages of

(a) eliminating the transaction costs of exchanging the currencies of East and West Germany.

(b) slowing the economic integration of the two countries, thereby allowing East German citizens

time to adjust to capitalism.

(c) making East Germany’s good cheaper for West German citizens.

(d) all of the above.

(e) both (a) and (b) of the above.

Answer: A

Question Status: Previous Edition