Explain how and why economic events in the U.S. affected the economies of Thailand, South Korea, and Indonesia and vice-versa
Thailand, South Korea, and Indonesia fixed the values of their currencies to the U.S. dollar. When the value of the dollar increased from 1995 to 1997, their currencies also appreciated relative to most other currencies. That made their exports more expensive to many of their trading partners and led to trade deficits. When the economic downturn occurred in 2000, all four of these countries saw the value of their currencies decline. These depreciations restored their international competitiveness but they also reduced their citizens' purchasing power. The rise in the value of the dollar in the U.S. and the recession that began in the U.S. in 2007 had an impact on the economies of these Asian countries. On the other hand, the 2001 Asian had an impact on the U.S. economy.
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If the existing unemployment rate is 3.1 percent and the natural unemployment rate is 4.5 percent, the cyclical unemployment rate is ________ percent.
a. 7.6 b. 3.8 c. -1.4 d. 1.4
The goal of utilitarians is to
a. apply the logic of individual decision making to questions concerning morality and public policy. b. measure happiness and satisfaction. c. redistribute income based on the assumption of increasing marginal utility. d. All of the above are correct.
In measuring the stock of money in the U.S., M1 includes
a. traveler's checks. b. savings deposits. c. credit cards d. none of the above.
When private benefits equal social benefits, it means that:
A. positive externalities are not present in the market. B. positive externalities are present in the market. C. no externality of any kind is present in the market. D. negative externalities are present in the market.