According to the J curve, the rapid depreciation in the dollar from 1985 to 1987 caused net exports to
A) rise in the short run and fall in the long run.
B) rise in the short run and rise further in the long run.
C) fall in the short run and rise in the long run.
D) fall in the short run and fall further in the long run.
C
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Refer to Table 13-4. Victoria's profit-maximizing output is where
A) total profit equals $3. B) marginal revenue and marginal cost both equal $4. C) marginal cost is at its minimum value. D) marginal revenue and marginal cost both equal $3.
Ideally, insurance companies would like to charge
a. High premium to low risk clients b. Low premium to high risk clients c. The same premium to all clients d. High premium to high risk and low premium to low risk clients
When a monopolist reduces the quantity of output it produces and sells, the
a. price of its output increases. b. price of its output remains constant. c. price of its output decreases. d. profits for the firm always decrease.
Scarcity exists because economies cannot produce enough to meet the perceived desires of all individuals.
Answer the following statement true (T) or false (F)