Refer to the scenario above. What is the purchasing power parity-based exchange rate between the two currencies?
A) 0.4 units of Country 1's currency for $1 B) 2.5 units of Country 1's currency for $1
C) 1.2 units of Country 1's currency for $1 D) 1 unit of Country 1's currency for $2.50
B
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In general, when people talk about investing, they mean that they:
A. hold stocks or bonds. B. have lent their money to someone who will use it to buy physical capital. C. have put money in the stock market. D. All of these statements are true.
How does the long-run supply curve differ from the short-run supply curve for a perfectly competitive firm? Explain your answer
What will be an ideal response?
If a 1 percent change in income generates a greater than 1 percent change in quantity demanded of boating expenditures, then boating is an:
a. example of Engel's law. b. inferior good. c. income inelastic good. d. income elastic good. e. example of a substitute good.
What would be the opportunity cost of a child using a coupon for a free ice cream cone?
A. The dollar cost of the cone he or she selected B. The other types of ice cream he or she could have selected C. Zero, because the good was not a durable good D. Zero, because the good was free