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90. Which of the following is a drawback of the currency board system?
91. Which of the following is a reason why Great Britain and the United States could finance their deficits by
borrowing private money since the early 1970s?
92. Which of the following is an implication of a currency crisis?
93. Which of the following is true of a banking crisis?
94. Which of the following is a common underlying macroeconomic cause of financial crises?
95. Most of the International Monetary Fund's loan activities since the mid-1970s have been targeted toward
developing nations typically because:
96. According to the agreement reached between the International Monetary Fund and the South Korean
government in 1997, in return for funding, the South Koreans were required to:
97. All International Monetary Fund (IMF) loan packages come with conditions attached. Which of the
following is prevented due to these policies of the IMF?
98. In the context of the 1997 Asian crisis, how did the International Monetary Fund's "one-size-fits-all"
approach to macroeconomic policy affect South Korea?
99. Which of the following arises when people behave recklessly because they know they will be saved if things
go wrong?
100. Jade, a working professional, began driving rashly ever since she got her car insured against damage. She
believed that the insurance claim would cover her in case of any accidents. What does Jade's behavior display?
101. The International Monetary Fund has been criticized for:
102. According to the critics of the International Monetary Fund (IMF), how should the problem of moral
hazard exhibited by banks be resolved?
103. According to the noted economist Jeffrey Sachs, the International Monetary Fund should:
104. In response to the global financial crisis of 2008-2009, the International Monetary Fund began to:
105. Which of the following observations about the International Monetary Fund (IMF) is true?
106. Which of the following poses a problem for international businesses in the long run?
107. Which of the following statements is true about the current monetary system?
108. Which of the following is a feature of the current monetary system?
109. Vornoda Inc., a multinational clothing and accessory brand, has been facing huge economic losses due to
unpredictable exchange rate movements. In order to gain considerable immunity against such currency
fluctuations, Vornoda Inc. should:
110. It is most appropriate for a firm to contract out manufacturing when:
111. Differentiate between a floating exchange rate and a pegged exchange rate.
112. Describe the gold standard and a balance-of-trade equilibrium.
113. Briefly describe the Bretton Woods agreement of 1944.
114. What was the drawback of the Bretton Woods system?
115. Describe the Jamaica agreement of 1976. What were the main elements of this agreement?
116. The rise in the value of the dollar between 1980 and 1985 occurred when the United States was running a
large and growing trade deficit. Explain the factors that led to this rise.
117. In terms of monetary policy autonomy, how does a floating exchange rate system differ from a fixed
system?
118. In terms of speculation, describe the arguments for a fixed exchange rate system.
119. Briefly describe the pegged exchange rate regime.
120. Explain the concept of a currency board.
121. Describe the three broad types of financial crises that have occurred in the post-Bretton Woods era.
122. All International Monetary Fund loan packages come with conditions attached. Elaborate.
123. Elaborate on the main criticisms of the International Monetary Fund's approach to financial crises.
124. What changes have occurred in the International Monetary Fund in recent years?
125. How has the volatility of the current global exchange rate regime affected international businesses? How
can the problem be tackled?
