A. Explain what is meant by shoe-leather costs
b. What are the determinants of real money balances?
c. Vicky lives in the Tanzania, and her salary at Bakhresa Tanzania is TZS 25,000,000 per year. Suppose she is offered to move to Uganda to work at a Bakhresa Tanzania franchise in Uganda. Her new salary would be $35,000,000. Assume over the course of her move inflation in both countries will be zero, and Vicky will not incur any moving costs or any other costs associated with going to Uganda. Assume also that the two jobs she will be doing are completely identical. Vicky should move, because she is going to get a higher salary?



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