The dollar of the United States became the postwar world's key currency because of all EXCEPT
A) the early convertibility of the U.S. dollar in 1945.
B) the special position of the dollar under the Bretton Woods system.
C) the strength of the American economy relative to the devastated economies of Europe and Japan.
D) central banks naturally found it advantageous to hold their international reserves in the form of interest-bearing dollar assets.
E) the ease of transporting U.S. dollars compared with other currencies.
E
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Data on output and aggregate expenditure in Macroland are given below.Output(Y)Aggregate Expenditure2,0002,3003,0003,2004,0004,1005,0005,0006,0005,900Based on these data, the short-run equilibrium level of output is:
A. 3,200. B. 2,000. C. 5,000. D. 4,100.
Which of the following countries does not come close to the free market benchmark?
A) Cuba B) Japan C) the United States D) France
Sail with Us is considering a three-year advertising campaign. The campaign will cost $100,000 at the end of each of the three years. The managers of Sail with Us have estimated that the campaign will generate $80,000 a year in additional profit for the next five years. If the discount rate is 2 percent, what is the net present value of the advertising campaign?
A) $90,213 B) $95,228 C) $78,569 D) $88,68
A firm will only earn normal profit in the long run
a. if firms can freely enter or leave the market b. if firms do not try to maximize profit c. only if the industry is perfectly competitive d. whenever products are not differentiated e. if barriers to entry exist