Under a flexible exchange-rate system, an increase in the demand for Japanese yen would cause the U.S. dollar—Japanese yen exchange rate to
A) fall.
B) rise.
C) remain unchanged, because supply also increases.
D) remain unchanged, because the exchange rate is set by the central bank.
B
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Economic development encompasses which of the following measures?
a. Economic growth. b. The political environment. c. Education. d. All of these.
The supply of bonds to the bond market
a. is positively related to the demand for stocks b. is inversely related to the interest rate c. is positively related to income d. is positively related to the demand for bonds e. only changes if new bonds are issued
Many people who hold bonds
a. think they are poorer than they really are b. end up oversaving because of the paradox of thrift c. end up underconsuming d. mistakenly view the bonds as their personal assets and as the government's liabilities e. believe that the source of the interest they receive is the taxes they don't need to pay
Assuming that Houston uses a flat fee pricing system for trash services, the equilibrium quantity of MSW services provided is
Use the following forany or all of Questions 11 through 13 below. Consider the following model of the municipal solid waste (MSW) services market in the city of Houston. MSC = 1.5 + 1.25Q MSB = 30 – 2.5Q MEC= 0.75Q MEB= 0 whereQ is the number of trash containers serviced per household per month. a. 12 c. 0 b. 1.2 d. 3