Other things the same, if the U.S. real exchange rate depreciated, then U.S. net exports would
a. fall and the quantity of dollars demanded in the market for foreign-currency exchange would fall.
b. fall and the quantity of dollars demanded in the market for foreign-currency exchange would rise.
c. rise and the quantity of dollars demanded in the market for foreign-currency exchange would fall.
d. rise and the quantity of dollars demanded in the market for foreign-currency exchange would rise.
d
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If the CPI decreases from one year to the next, then the inflation rate is
A) negative. B) 0. C) below 100. D) above 100. E) positive.
Rationing of resources, goods, and services
A) is not required under the price system. B) is required because of scarcity. C) must be done by the government. D) happens only when the price is zero.
A technological advance that increases the productivity of all inputs is best illustrated as: a. a movement along the production possibilities curve. b. a flattening of the production possibilities curve
c. an inward shift of the production possibilities curve. d. an outward shift of the production possibilities curve.
The AFC curve is
A. J.
B. K.
C. L.
D. M.