As the price of the U.S. dollar increases in terms of foreign currency,
a. U.S. products become cheaper for foreigners
b. foreign goods become cheaper for Americans
c. dollars are worth less
d. the U.S. demand for foreign exchange increases
e. the supply of foreign exchange to U.S. markets decreases
B
You might also like to view...
In Figure 11.1, a decrease in the marginal propensity to consume is represented by a change in the consumption function from
A) C1 to C3. B) C3 to C1. C) C2 to C1. D) C1 to C2.
The payment made by a bank to a depositor to use her money for lending to those in need of funds is referred to as the ________
A) dividend B) interest C) principal D) stock
In a closed economy, which of the following components of GDP is not included?
A) net exports B) consumption C) investment D) government spending
The Phillips curve will shift down with ________ or ________
A) a positive supply shock; an increase in expected inflation B) a positive supply shock; a decrease in expected inflation C) a negative supply shock; an increase in expected inflation D) a negative supply shock; a decrease in expected inflation