During the 1990s, the country of Chile required foreigners wishing to invest in the country to make a one-year, zero-interest deposit in the Chilean central bank equal to at least 20 percent of the investment. This is an example of:
A) a capital outflow control.
B) a capital inflow control.
C) an exchange rate mechanism.
D) a currency board.
Correct Answer:
Verified
Q20: In the short run, a country's exchange
Q21: If the Fed decides to maintain a
Q22: Capital controls:
A) can be controls on capital
Q23: An open-market purchase of foreign bonds to
Q24: If domestic residents are restricted in their
Q26: Which of the following would be an
Q27: If the Fed desired to fix the
Q28: If the Fed decides to maintain a
Q29: The impact on the foreign exchange market
Q30: Most economists view capital controls:
A) unfavorably.
B) unfavorably,
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