Pearson eText Macroeconomics -- Access Card
Pearson eText Macroeconomics -- Access Card
7th Edition
ISBN: 9780136850014
Author: Hubbard, Glenn, O'Brien, Anthony
Publisher: PEARSON
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Chapter 19, Problem 19.1.3PA
To determine

Agree or disagree with the given statement.

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The newly-formed kingdom of Monkeytown is attempting to create their first currency. Many suggestions have been made, but the current favorite is to use bananas. Would bananas be a valid form of money? Why or why not? Would the residents of Monkeytown be able to use their bananas to make purchases in America? Why or why not? In your answer, please define any important economic terms used.
Lets say there is country A which is more developed like china and country B which is less developed like the Caribbean. What are THREE possible impacts of borrowing money from Country B could have on country A?
According to Lawrence White in "How Common Has Private Currency Been?" The private sector can produce bank deposits but the State has always been in charge of producing currency (coins and banknotes). True or False
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