If nothing else changes, the ________ the current exchange rate, the ________ is the expected profit from holding dollars, all other things remaining the same
A) higher; larger
B) lower; smaller
C) lower; larger
D) The premise of the question is wrong because the exchange rate has nothing to do with expected profit from holding dollars.
C
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Refer to Scenario 2.1. What is the equilibrium quantity of books sold?
A) 25 B) 50 C) 75 D) 100 E) none of the above
The trade-off between unemployment and inflation is usually shown by the
a. supply curve and the demand curve. b. aggregate expenditure curve. c. production possibilities curve. d. Phillips curve.
The tragedy of the commons refers to:
a. the plight of the common people, who are doomed to low paying jobs and discrimination. b. the fact that public resources are becoming scarce. c. the idea that what we have in common is often not why we trade. d. the idea that when everyone has free access to a resource, it will be overused and depleted.
What is the free-rider problem, and how is it related to public goods?
What will be an ideal response?