Under a system of freely flexible (floating) exchange rates, a U.S. trade deficit with Mexico will tend to cause:
A. the U.S. government to ration pesos to U.S. importers.
B. a flow of gold from the United States to Mexico.
C. an increase in the peso price of dollars.
D. an increase in the dollar price of pesos.
D. an increase in the dollar price of pesos.
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One of the things that employers can do to lessen the moral hazard problem involving their employees is to pay them in advance for their work
a. True b. False Indicate whether the statement is true or false
If the Federal Reserve wants to increase the availability of money and credit, it can:
A. lower the discount rate. B. raise the reserve requirements. C. sell U.S. government bonds to the public. D. encourage banks to increase their prime lending rate.
In a two-sided market, a firm that provides services that link together groups of consumers and producers is called a(n)
A) end user. B) platform. C) monopoly. D) tit-for-tat.
If you are traveling in Thailand and you purchase a meal that costs 1,400 baht and the current exchange rate is 35 baht to the dollar, then the price of the meal in U.S. currency is
A. $400. B. $40. C. $4. D. $0.40.