If the price of a truck in the United States is $25,000, and the exchange rate between the dollar and the euro falls from $1.50 to $1.30 per euro, then the price of the American truck in the EU will
A. fall.
B. rise.
C. remain the same.
D. be irrelevant, because the EU will impose restrictions on imports from the United States.
Answer: B
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What will be an ideal response?
Economists say that since wants are unlimited and the earth contains a finite quantity of resources that people keep using,
a. we will run out of resources b. consumers will lose sovereignty c. the circular flow model will eventually shrink d. scarcity will always be a fact of economic life e. the ceteris paribus assumption becomes more universal
Which of the following is not included in the current account?
a. Imports of goods b. Exports of goods c. Unilateral transfers d. U.S. capital inflow and outflow
The Equal Pay Act of 1963 requires that men and women be given equal pay for equal work in the same establishment
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