Which of the following factors potentially increased the vulnerability to the 1997 Asian financial and currency crisis ?

A. Trade account surplus
B. Massive reverse outflows of capital
C. Technological transfer from dcs
D. Symmetric informational in financial market

Shortly after 1979 World Bank introduced loans that emphasized reforms in trade, agriculture industry public enterprise financial energy education or other sectors and were know as ?

A. Structural adjustment loans
B. Sectoral adjustment loans
C. Internal adjustment loans
D. External leverage loans

Fundamentalists want the IMF to lend to crisis-stricken countries on condition that they undertake fundamental structural reforms in banking Joseph Stiglitz however thinks it is______________?

A. Unrealistic for imf to intervene in the financial markets of poor countries during the crisis
B. Impractical for the imf to loan short term as reforms can only be effective in the middle to long run
C. Crucial that the imf intervene in the reform of fiscal policy of the country and not the monetary policy
D. None of the statements above is correct

Mosley Harrigan and Toye refer to the IMF and World Bank as________________?

A. Excessively committed to writing down ldc debt
B. A managed duopoly of policy advice
C. A u.s monoply
D. The initiator of hipcs debt forgiveness

The policy cartel on debt reduction refers to the_______________?

A. Screening of debtors based on their regional location
B. World bank requiring ldcs seconded by a dc to get loan reduction
C. Loan denial to crisis-stricken highly indebted countries
D. None of the above

International difference is opportunity costs lead to countries acquiring ?

A. Comparative advantage
B. High exchange rates
C. Trade barriers
D. Trade quotas

The level of the equilibrium exchange rate offsets international differences in ?

A. Comparative advantage
B. Absolute advantage
C. Opportunity cost
D. Relative costs

A tariff causes domestic firms to ________ and consumers to?

A. Overproduce, under consume
B. Overproduce, overconsume
C. Underproduce, under consume
D. Underproduce, overconsume

If goods are exported for less than society’s marginal production cost and the marginal benefit to domestic consumers, it is likely that they benefit from?

A. An import subsidy
B. A quota
C. Comparative advantage
D. An export subsidy

Output fell sharply in the transition economies because ?

A. Banks were unable to function
B. There was little corporate control
C. Vital infrastructure was missing
D. All of the above