An exchange rate that has an officially fixed value less than its fundamental or market equilibrium value is called a(n) ________ exchange rate.

A. undervalued
B. depreciated
C. devalued
D. overvalued


Answer: A

Economics

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Relative to Al, Joe has ________ if Joe can produce a good at a lower opportunity cost than Al

A) a marginal benefit B) a comparative advantage C) more production efficiency D) a free lunch E) a comparative benefit

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Just as indifference maps represent consumer tastes, so isoquant maps represent a producer tastes.

Answer the following statement true (T) or false (F)

Economics

A firm's net income is also its

A) opportunity cost. B) accounting profit. C) balance sheet. D) economic profit.

Economics

Suppose the MRP of a firm's 12 th worker is $22 and the worker's marginal wage cost is $16. We can say with certainty that the firm:

A. is hiring labor in a competitive labor market at a wage rate of $16. B. is hiring labor in a monopsonistic labor market. C. will find it profitable to hire fewer workers. D. will find it profitable to hire more workers.

Economics