Other
ECS2602 ASSIGNMENT 3 SEMESTER 1 2024 (MCQ ANSWERS)
- Institution
- University Of South Africa (Unisa)
ECS2602 ASSIGNMENT 3 SEMESTER 1 2024 (MCQ ANSWERS)
[Show more]
4 reviews
By: pearlmtha • 6 months ago
By: tatendamuzavazi • 6 months ago
thank you pearl for engaging. For further assistance, do not hesitate to engage us
By: noxolomlambo17 • 7 months ago
By: tatendamuzavazi • 7 months ago
Thank you for review, any challenges kindly engage us on our given details
By: Mphomehlo • 6 months ago
By: tatendamuzavazi • 6 months ago
thank you Mpho for engaging. For further assistance, do not hesitate to engage us
By: malatjigodna98 • 7 months ago
By: tatendamuzavazi • 7 months ago
Thank you for review, any challenges kindly engage us on our given details
Content preview
4/13/24, 6:35 AM Assessment 3 (page 1 of 30)UNISA 2024 ECS2602-24-S1 Welcome to the module ECS2602-24-S1 Assessment 3
QUIZ
Question 1
Answer saved
Marked out of 1.00
Which one of the following statements is INCORRECT regarding the IS and LM relations in an open economy?
Select one:
A. An increase in the interest rate has a negative impact on the exchange rate.
B. Given the domestic interest rate and the interest parity relation, the equilibrium interest rate determines the
equilibrium exchange rate.
C. The LM relation is the same in an open and closed economy and is a horizontal line.
D. The interest parity relation shows (given i*, Ēe) the following relationship: i↑ → E↑ and i↓ → E↓.
Clear my choice
https://mymodules.dtls.unisa.ac.za/mod/quiz/attempt.php?attempt=17486532&cmid=848054 1/1
,4/13/24, 6:35 AM Assessment 3 (page 2 of 30)
UNISA 2024 ECS2602-24-S1 Welcome to the module ECS2602-24-S1 Assessment 3
QUIZ
Question 2
Answer saved
Marked out of 1.00
In the IS-LM model for an open economy, when a contractionary monetary policy is applied, the _____
Select one:
A. interest rate decreases, the LM curve shifts downwards and the level of output increases in the goods market.
B. interest rate decreases, the LM curve shifts downwards and the demand for goods decreases in the goods market.
C. interest rate increases, the LM curve shifts upwards and the level of output decreases in the goods market.
D. interest rate increases, the LM curve shifts upwards and investment spending increases in the goods market.
Clear my choice
https://mymodules.dtls.unisa.ac.za/mod/quiz/attempt.php?attempt=17486532&cmid=848054&page=1 1/1
,4/13/24, 6:35 AM Assessment 3 (page 3 of 30)
UNISA 2024 ECS2602-24-S1 Welcome to the module ECS2602-24-S1 Assessment 3
QUIZ
Question 3
Answer saved
Marked out of 1.00
The following question refers to an IS-LM model in an open economy.
Which of the following statements is correct regarding the impact of an increase in taxes in an open economy?
Select one:
A. The trade balance improves since imports are lower and exports are higher.
B. The LM curve is upward-sloping, and an appreciation of the exchange rate occurs.
C. On the financial market, the interest rate declines since the demand for money is lower.
D. The IS curve will shift to the left. In the goods market, the demand for goods decreases and the level of output and
income declines.
Clear my choice
https://mymodules.dtls.unisa.ac.za/mod/quiz/attempt.php?attempt=17486532&cmid=848054&page=2 1/1
, 4/13/24, 6:35 AM Assessment 3 (page 4 of 30)
UNISA 2024 ECS2602-24-S1 Welcome to the module ECS2602-24-S1 Assessment 3
QUIZ
Question 4
Answer saved
Marked out of 1.00
This question is based on the following diagram of an IS-LM model for an open economy.
Which one of the following statements is correct?
Select one:
A. The diagram above illustrates the impact of an expansionary monetary policy on the exchange rate.
B. The diagram above illustrates the impact of a contractionary fiscal policy on the exchange rate.
C. The diagram above illustrates the impact of a contractionary monetary policy on the exchange rate.
D. The diagram above illustrates the impact of an expansionary fiscal policy on the exchange rate.
Clear my choice
https://mymodules.dtls.unisa.ac.za/mod/quiz/attempt.php?attempt=17486532&cmid=848054&page=3 1/1
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through EFT, credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller tatendamuzavazi. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R50,00. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
52510 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy summaries for 14 years now