The inflow of foreign investment into the U.S. economy reflects a high level of confidence in the United States.
Answer the following statement true (T) or false (F)
True
When foreigners wish to invest in the United States it is a vote of confidence by the market; this will also tend to increase the demand for the dollar and cause it to appreciate.
You might also like to view...
In using taxes as a tool for the redistribution of income and wealth in the U.S. economy, the government
a. taxes households with higher incomes at higher rates. b. uses tax revenues to provide services used to a greater extent by households with lower incomes. c. uses tax revenues to make transfer payments to households with lower incomes. d. Does all of these.
If the price of an existing bond increases, the current yield increases.
Answer the following statement true (T) or false (F)
If a supply curve is perfectly vertical, what is the value of the price elasticity of supply?
Suppose labor and capitals are both used to produce output. In the long run, if the wage rate rises while the rental rate on capital remains unchanged,
A. market forces will come into play to bring the prices back to their earlier relationship. B. the process will become more capital intensive. C. the marginal product of capital will rise and the marginal product of labor will fall. D. the process will become more labor intensive.