Market clearing prices in a market system act as
A) a signaling device.
B) a direct measure of resource costs.
C) a way for producers to advertise.
D) a legally determined rationing device.
A
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When Americans increase their demand for Japanese goods
A) the demand for dollars will rise, and the demand for yen will rise. B) the supply of dollars will rise, and the demand for yen will rise. C) the demand for dollars will fall, and the demand for yen will rise. D) the supply of dollars will fall, and the demand for yen will fall.
Which of the following transactions would be governed by the rules of the EEC?
a. Russia's trade with Canada b. the U.S.'s trade with Russia c. Brazil's trade with Bolivia d. France's trade with Greece e. China's trade with Japan
In the United States, the money supply (M1) consists of
a. paper currency, coins and traveler's checks. b. government bonds, currency, demand deposits, other checkable deposits, and traveler's checks. c. paper currency, coins, demand deposits, and savings deposits. d. coins, paper currency, demand deposits, other checkable deposits, and traveler's checks.
How does competition from nonunion firms and foreign producers affect the ability of a union to increase the wages of its members?
a. Such competition reduces the ability of a union to achieve wage increases. b. Such competition does not affect the ability of a union to achieve wage increases. c. Such competition will increase the strength of a union if it produces a product sold in the domestic market but reduce the strength of the union if it produces an export product. d. The effect of this type of competition will be entirely dependent on the elasticity of demand for labor in the domestic market.