If the dollar depreciates in value relative to foreign currencies, then aggregate:
A. Demand decreases
B. Demand increases
C. Supply and aggregate demand increase
D. Supply and aggregate demand decrease
B. Demand increases
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Why do economists generally favor vouchers to achieve an efficient outcome?
What will be an ideal response?
Figure 7-9
Of the graphs in Figure 7-9, which represents total fixed cost?
A. 1 B. 2 C. 3 D. 4
Suppose the U.S. supply of loanable funds shifts left. This will
a. increase U.S. net capital outflow and increase the quantity of loanable funds demanded. b. increase U.S. net capital outflow and decrease the quantity of loanable funds demanded. c. decrease U.S. net capital outflow and increase the quantity of loanable funds demanded. d. decrease U.S. net capital outflow and decrease the quantity of loanable funds demanded.
Judging from this graph, which of the following happens if supply remains unchanged and demand increases?
a. Quantity becomes indeterminate.
b. Quantity falls.
c. Price falls.
d. Price rises.