In 2002, the United States imposed restrictions on the importation of steel into the United States. The open-economy macroeconomic model shows that such a policy would
a. lower the real exchange rate and increase net exports.
b. lower the real exchange rate and have no effect on net exports.
c. raise the real exchange rate and decrease net exports.
d. raise the real exchange rate and have no effect on net exports.
d
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A) adverse selection. B) negative selection. C) moral hazard. D) lemon hazard.
What is the main conceptual difference between GDP and GNP? How different are GDP and GNP for the United States? For countries with many citizens who work abroad?
What will be an ideal response?
Economists assume people are motivated by
A) unlimited resources. B) pride. C) self-interest. D) social justice.
Credit cards are a medium of exchange
a. True b. False Indicate whether the statement is true or false