The exchange rate last month was $1 = 1.15 euros. This month it is $1 = 1.35 euros. We can say that the value of the dollar
A) fell; causing net exports to increase and aggregate demand to rise.
B) fell; causing net exports to decrease and aggregate demand to fall.
C) increased; causing net exports to decrease and aggregate demand to fall.
D) increased; causing net exports to decrease and aggregate demand to rise.
Answer: C) increased; causing net exports to decrease and aggregate demand to fall.
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An increase in the number of consumers, all else held constant, will shift the
a. supply curve leftward. b. demand curve leftward. c. supply curve to the right. d. demand curve to the right.
An elasticity is a measure of sensitivity
Indicate whether the statement is true or false
An increase in the capital stock will:
A. shift the production function downward. B. shift the production function upward. C. flatten the production function. D. steepen the production function.
What is one negative effect of growth?
A. Cleaner air due to technological advances B. More healthful foods C. Obesity due to falling food prices D. Advances in medicine driven by scientific discovery