Suppose economic stability in the United States increases. This will tend to cause which of the following to occur?
A. The demand for U.S. dollars will rise in the foreign exchange market.
B. The demand for euros will rise in the foreign exchange market.
C. Nothing will change in the foreign exchange market.
D. The supply of U.S. dollars will rise in the foreign exchange market.
Answer: A
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If people have the same abilities, then
a. they cannot gain from trade. b. they can still gain from trade if they have different tastes. c. they can still gain from trade as long as they specialize in different activities. d. they can still gain from trade only if they are facing different absolute prices.
The marginal social cost of production is:
A. the sum of the total cost to the producer and the total external cost. B. the sum of the marginal cost to the producer and the total external cost. C. the sum of the total cost to the producer and the marginal external cost. D. the sum of the marginal cost to the producer and the marginal external cost.
The firm's most profitable output is at
A. 150.
B. 175.
C. 225.
D. 300.
The prisoner's dilemma game can involve:
A. only two players. B. multiple organizations. C. more than two players. D. All of these statements are true.