If the equilibrium exchange rate is 15 pesos per dollar and the central bank fixes the exchange rate at 17 pesos per dollar then we can conclude that the peso is
(a) appreciated.
(b) depreciated.
(c) overvalued.
(d) undervalued.
D
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When the market price is above equilibrium then ____ and when the market price is below equilibrium, then ____.
A. quantity demanded is greater than quantity supplied; quantity supplied is greater than quantity demanded. B. quantity supplied is greater than quantity demanded; quantity supplied is greater than quantity demanded. C. quantity supplied is greater than quantity demanded; quantity demanded is greater than quantity supplied D. the market is in equilibrium; the market is in equilibrium.
The greater the degree of specialization in the economy, the: a. easier it is to discover a double coincidence of wants
b. more feasible is a barter system. c. less likely it is that monetary exchange will develop. d. harder it is to negotiate an exchange rate between all pairs of goods. e. more likely it is that individual consumers are self-sufficient.
The Fed's countercyclical policy during expansion and prosperity includes:
a. raising the required reserve ratio, raising the discount rate, and selling government bonds on the open market. b. raising the required reserve ratio, raising the discount rate, and buying government bonds on the open market. c. raising the required reserve ratio, cutting the discount rate, and selling government bonds on the open market. d. raising the required reserve ratio, cutting the discount rate, and buying government bonds on the open market. e. lowering the required reserve ratio, cutting discount rates, and buying government bonds on the open market.
Dent 'n' Scratch Used Cars and Trucks employs 3 salesmen. Data for their sales last month are shown in this table: Cars SoldTrucks SoldLarry105Joe99Ralph312 Based on last month's data, ________ has an absolute advantage in selling cars and ________ has an absolute advantage in selling trucks.
A. Joe; Joe B. Larry; Joe C. Larry; Ralph D. Ralph; Larry