If the price level in the United States is 110, the price level is 135 in Mexico, and the nominal exchange rate is 12.5 pesos per dollar, what is the real exchange rate from the U.S. perspective?
A) 8.8 B) 10.2 C) 10.8 D) 11.4
B
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Explain the concept of "learning by doing" with respect to infant industry protection
What will be an ideal response?
Which of the following would be included in the calculation of GDP?
a. an antique diamond necklace b. a new toaster c. a second-hand dress d. a mint condition 1940 baseball card
Recall the Application about how the effect of a more dangerous job on wages may be used to calculate the value of a statistical life to answer the following question(s).According to the Application, if a worker is willing to take a $2,000 pay cut in order to reduce the probability of dying by .001, then the value of a statistical life is:
A. $2,000,000. B. $2,000.001. C. $2. D. $20,000,000.
Refer to the diagram for the federal funds market. A $25 billion increase in reserves will change the interest rate to:
A. 3.0 percent.
B. 3.5 percent.
C. 4.0 percent.
D. cannot be determined with the above information.