If the demand effect dominates during a currency depreciation, then
A. real GDP should fall.
B. real GDP should increase.
C. the price level should fall.
D. net exports should decrease.
Answer: B
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A firm in monopolistic competition makes its decisions on quantity and price by
A) taking price as given from the market and producing where MR = MC. B) taking both price and quantity as given from the market. C) producing where MR = MC and setting the price for this quantity from the demand curve. D) taking quantity as given from the market and setting the price for this quantity from the demand curve. E) producing where MR = MC and setting the price so that P = MR = MC.
The demand for microwaves in a certain country is given by: D = 8,000 - 30P, where P is the price of a microwave. Supply by domestic microwave producers is: S = 4,000 + 10P. If this economy opens to trade while the world price of a microwave is $50, and the government imposes a tariff of $30 per microwave, then the domestic quantity supplied will be ________ microwaves.
A. 5,000 B. 4,800 C. 4,500 D. 4,000
Which of the following is a characteristic of "public goods"?
What will be an ideal response?
Answer the following statement(s) true (T) or false (F)
Population growth can have both a positive and a negative impact on economic growth.