An increase in U.S. prices relative to prices in foreign countries will
A. increase U.S. imports and decrease U.S. exports.
B. decrease U.S. imports and increase U.S. exports.
C. decrease both U.S. exports and imports.
D. increase total planned spending on U.S. goods and services.
Answer: A
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Technological advancements have led to lower prices and an increase in the sale of color laser printers. How does this affect the market for traditional inkjet printers?
A) The demand curve for inkjet printers shifts to the right. B) The quantity of inkjet printers demanded decreases. C) The demand curve for inkjet printers shifts to the left. D) The quantity of inkjet printers demanded increases.
The Federal Reserve's performance in the mid-to-late 1980s, 1990s, and early 2000s has received high marks from economists, even without inflation targeting
Indicate whether the statement is true or false
Refer to Figure 9.5. If the government establishes a price floor of $2.50 and farmers grow only the amount of berries that will be sold, producer surplus will
A) fall by $50. B) fall by $100. C) remain the same. D) rise by $50. E) rise by $100.
If a budget deficit as a percent of GDP is greater than the growth of real output, the national debt will
a. decrease relative to the size of the economy. b. decrease in nominal terms. c. increase in nominal terms but decrease relative to the size of the economy. d. increase relative to the size of the economy.