If the U.S. Congress imposes a quota on imports of Japanese cars due to claims of "unfair" trade practices, and Japanese demand for American exports increases at the same time, then, in the long run ________, everything else held constant
A) the Japanese yen will appreciate relative to the U.S. dollar
B) the Japanese yen will depreciate relative to the U.S. dollar
C) the Japanese yen will either appreciate, depreciate or remain constant against the U.S. dollar
D) there will be no effect on the Japanese yen relative to the U.S. dollar
B
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Commodities that typically last three years or more are called:
A) durable goods. B) nondurable goods. C) services. D) none of the above.
If Y>C+I+G but Md= Ms, then
a. interest rates must rise and output must fall. b. both interest rates and output must fall. c. interest rates must fall and output must rise. d. both interest rates and output must rise. e. none of the above.
Arnold is considering purchasing a business for $100,000 . It will pay him an annual return of $8,000 . If the interest rate is 10 percent, should he buy the business? What if the interest rate was 6 percent?
When Feeding America changed its food allocation system to one that resembled a market, each food program was given a number of "shares" that they could use in bidding against other food programs for the types of food that best met the needs of the
people using their programs. This is an example of how the market leads firms to provide consumers with the goods they want, which Adam Smith described by using the metaphor A) the invisible hand. B) ceteris paribus. C) don't look a gift horse in the mouth. D) don't bite the hand that feeds you.