An increase in the real exchange rate will cause
A) an increase in net exports.
B) an increase in the quantity of imports.
C) an increase in output.
D) a decrease in government spending.
E) all of the above
B
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Because resources are scarce, economists would say that
A) people's wants are unlimited. B) anything worth doing is worth doing well. C) every choice has an opportunity cost. D) there are no benefits from cooperation. E) the best things in life are always free.
Which of the following statements is true?
A) Firm-specific training results in losses to a worker. B) Firm-specific training results in losses to a worker's employer. C) A worker is more likely to pay for firm-specific training than for general training. D) A worker is more likely to pay for general training than for firm-specific training.
One reason for the fall in the natural rate of unemployment from 1980 to 2000 is
A) changes in the demographic composition of the work force. B) the decline in inflation. C) increased competition from foreign workers. D) the depreciation of the dollar relative to foreign currencies.
Suppose that in a closed economy GDP is equal to 20,000, consumption equal to 15,000, government purchases equal 4,000 and taxes equal 3,000 . What are private saving, public saving, and national saving?
a. -2,000, 1,000, and 2,000, respectively. b. 1,000, 2,000, and 3,000, respectively. c. 2,000, -1,000, and 1,000, respectively. d. 2,000, 1,000, and 2,000, respectively.