If the market equilibrium value of the nominal exchange rate equals 0.20 U.S. dollars per franc, but the franc is officially fixed at 0.25 U.S. dollars per franc, then the franc exchange rate is ________ and to maintain this exchange rate there will be ________ in the government's stock of international reserves.
A. undervalued; a net increase
B. overvalued; a net increase
C. overvalued; a net decline
D. undervalued; a net decline
Answer: C
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According to the graph shown:
A. consumer surplus is greater than producer surplus.
B. producer surplus is greater than consumer surplus.
C. total surplus is smaller than consumer surplus.
D. total surplus is smaller than producer surplus.
Macroeconomics is best suited to answering questions such as
a. what determines the unemployment rate among students on this campus b. why rent is higher in big cities than in smaller ones c. how fast the overall price level will rise next year d. what determines the demand for public transportation in rural areas e. why sales taxes in this area are increasing
A minority candidate may not have the same chances as a white candidate for a job simply based on an employer’s misconceptions about minorities.
Answer the following statement true (T) or false (F)
Refer to the information provided in Table 19.4 below to answer the question(s) that follow.Table 19.4Total IncomeTotal Taxes$10,000 $1,000 20,000 2,400 30,000 4,500 40,000 8,000Related to the Economics in Practice on page 393: Refer to Table 19.4. If income increases from $20,000 to $30,000, the marginal tax rate is
A. 3%. B. 15%. C. 21%. D. indeterminate from this information.