If the Federal Reserve increases interest rates
A) the demand curve for U.S. dollars shifts rightward and the supply curve of U.S. dollars shifts leftward.
B) the demand curve for U.S. dollars shifts leftward and the supply curve of U.S. dollars shifts rightward.
C) the demand curve for U.S. dollars and the demand curve for European euros both shift rightward.
D) the demand curve for U.S dollars shifts leftward and the demand curve for European euros shifts rightward.
A
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Suppose a single-price monopoly sells 3 units of a good at $20 per unit. If the monopoly sells 4 units, the total revenue increases to $72. What is the marginal revenue of the fourth unit?
A) $52 B) $18 C) $60 D) $12 E) $20
Assume that Honduras has a comparative advantage in producing bananas and exports bananas to Brazil. We can conclude that
A) Honduras has a lower opportunity cost of producing bananas relative to Brazil. B) Honduras also has an absolute advantage in producing bananas relative to Brazil. C) Brazil has an absolute disadvantage in producing bananas relative to Honduras. D) Labor costs are higher for banana producers in Brazil than in Honduras.
Refer to Figure 12-6. If Jason maximizes his profit he will produce the output rate indicated by point ________ and his average profit will equal ________
A) a; $3 B) b; $3 minus ATC at point b C) d; $3 minus ATC at point d D) e; $3 minus ATC at point e
Q = K1/2L1/2 w = $2, r = $2 The firm would like to know the maximum output that can be produced for $8,000
Find the combination of inputs that maximizes output for a cost of $8,000, the amount of output that can be produced, and identify the expansion path.