1) Monetary and price instability will a

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1) Monetary and price instability will

a. make it easier for both individuals and businesses to plan wisely for the future.

b. generate uncertainty, and encourage investors and businesses to move their activities to countries with a more stable monetary environment.

c. encourage businesses to invest and expand their future output.

d. encourage domestic citizens to increase their rate of saving.

2) Which of the following will discourage investment?

a. well-defined property rights

b. high and variable rates of inflation

c. a low and steady rate of inflation

d. low tax rates