Ünite Sınavı Soruları

I-Monetary policy is the central bank’s "lender of last resort facility" function.

II-Monetary policy is that the central bank aims to maximize the weighted sum of the output and inflation gaps

III-Monetary policy is that the central bank is to minimize the risk of such liquidity shortages arising

IV-Monetary policy is that the central bank is to ensure the prices remain unchanged.

Which of the above is a correct statement for the role of monetary policy in financial stability?

I- One country voluntarily gives up its currency and uses another country’s currency. 

II- Economic units should not be restricted from exchanging domestic currency with the currency chosen as the anchor.

III-There must be enough foreign exchange reserves to meet the currency board’s liabilities at the pegged exchange rate

IV-The exchange rate is pegged to a foreign currency.

Which of the above is a correct statement for the currency boards?

Which of the following is one of the variables in the objective function of the central bank in strict inflation targeting regimes?

I-The central bank must be independent.

II-There should be no financial dominance.

III-There should be no current account and budget deficit.

IV-The financial system should be sound. 

Which of the above is one of the prerequisites  to be implemented for inflation targeting?

The most significant advantage of the floating exchange rate regime is that...............

Which of the following completes the sentence above?

Which of the following is one of the main objectives of micro-prudential policies?

Which of the following statement is correct for the Taylor rule proposed by John Taylor (1993)?

I- The country that uses another country’s currency gives up seigniorage incomes because it stops printing its currency

II- The country risks its financial system since the central bank cannot perform its last resort facility function

III- The country has difficulty in establishing financial stability and implementing fiscal policy.

IV-The country abandon its monetary policy. 

Which of the above statement is one of the disadvantages of official dollarization?

Which of the following regimes that the central bank aims to minimize the weighted sum of the inflation gap and the output gap ?

Which of the following statement is correct for the unpleasant monetarist arithmetic of Sargent and Wallace (1981)?