Which of the following best illustrates the elimination of transaction costs that result from the adoption of the euro as the single European currency?
A) When a German company imports French wine it no longer needs to use a bank in completing the transaction.
B) When a German company makes purchasing plans that involve importing French wine it knows exactly what the cost will be in terms of its own currency.
C) When a German company imports French wine it no longer has to pay a tariff on the wine.
D) When a German company imports French wine it no longer has to pay a charge for converting German currency into French currency.
Correct Answer:
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Q2: All members of the EU belong to
Q3: Which one of these benefits of a
Q4: Eurozone countries in breach of the excessive
Q5: In the context of the Single European
Q6: Before the EMU was established, most EU
Q7: Which one of the following is rightly
Q8: EMU stands for
A) Economic and monetary union.
B)
Q9: There is a high degree of flexibility
Q10: Since the European EMU was established, the
Q11: The major cost to the UK of
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