Everything else equal, if the dollar depreciates against the peso:
A) U.S. exports and imports will both decrease. B) the U.S. will import more and export less.
C) U.S. exports and imports will both increase. D) the U.S. will export more and import less.
D
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Public provision
A) is the production of a good by the government by giving funds to private producers. B) lowers the marginal cost of producing the good. C) means the good is produced by a public authority that receives the most of its revenue from the government. D) Both answers A and B are correct. E) Both answers B and C are correct.
You travel to Paris and pay for a $100 dinner with your credit card. How is this accounted for in the balance of payments?
A) current account, French service import B) current account, U.S. good export C) financial account, U.S. asset export D) financial account, U.S. asset import E) financial account, French asset export
The price paid for an option is called the
A) settlement price. B) mark-to-market price. C) option premium. D) call price.
Without trade, the consumption possibilities for two nations are:
A. outside their production possibilities curve. B. inside their production possibilities curve. C. along their production possibilities curve. D. at a point equal to the world production possibilities curve.