Other things the same, an increase in the nominal exchange rate raises the real exchange rate
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
Which of the following is a reason why firms may be more efficient than markets as coordinators of economic activity?
A) economies of scale and scope B) lower transactions costs C) economies of team production D) all of the above
Which of the following statements is FALSE?
A) When it comes to overall productive efficiency, compared to Japan, Germany and the rest of the European Union, the United States lags far behind. B) Sophisticated financial systems have given U.S. productive efficiency a boost. C) The United States' international competitive position has been helped by its long history of widespread entrepreneurship. D) Economic restructuring and investments in information technology have added to productive efficiency in the United States.
Which of the following is correct?
a. In the U.S. the natural rate of unemployment is frequently near 2%. b. The natural rate of unemployment fluctuates more than the cyclical rate of unemployment. c. The cyclical rate of unemployment is sometimes below the natural rate of unemployment. d. None of the above is correct.
Wages are the major element of cost in the economy accounting for about 70 percent of all input costs.
Answer the following statement true (T) or false (F)