Which of the following statements best describes the relationship between a stronger currency and exports?
a. A stronger euro discourages exports by a European firm because it makes the costs of production in the domestic currency higher relative to the sales revenues earned in another country.
b. A stronger euro encourages exports by a European firm because it makes the costs of production in the domestic currency higher relative to the sales revenues earned in another country.
c. A stronger euro discourages exports by a European firm because it makes the costs of production in the domestic currency lower relative to the sales revenues earned in another country.
d. A stronger euro encourages exports by a European firm because it makes the costs of production in the domestic currency lower relative to the sales revenues earned in another country.
a. A stronger euro discourages exports by a European firm because it makes the costs of production in the domestic currency higher relative to the sales revenues earned in another country.
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The Coase Theorem suggests that under its assumption, the efficient solution to an externality problem: a. depends on who owns property rights to the resources
b. is enhanced by government involvement in the negotiations. c. can be enhanced through the use of taxes. d. does not depend on the distribution of property rights.
The rule suggested by the monetarists is that the money supply increases at the same rate as
A. the price level. B. the interest rate. C. the velocity of money. D. the potential growth in real GDP.
All of the following are shown on a firm's income statement except
A) costs. B) profits. C) revenues. D) rate of return for investors.
The percentage of the population in the middle-class (defined by Pew as having income between 67% and 200% of median family income)
A. declined from more than 60% in the 1970s to 20% in 2015. B. remained constant at 60% from the 1970s to 2015. C. increased from the 1970s to 2015. D. declined from more than 60% in the 1970s to 50% in 2015.