Refer to Figure 19-5. Suppose the Chinese government decides to abandon pegging the yuan to the dollar at a rate which undervalues the yuan
Using the figure above, the equilibrium exchange rate would be ________ and Chinese exports to the United States would ________ in price.
A) $0.11/yuan; increase
B) $0.11/yuan; decrease
C) $0.14/yuan; increase
D) $0.13/yuan; increase
E) $0.13/yuan; decrease
D
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Interlace, Inc produces and a unique soda. The company cannot price discriminate. The figure above shows Interlace's demand curve, marginal revenue curve, and marginal cost curve
The quantity of soda Interlace Inc will choose to produce is ________ because when this quantity is produced, ________. A) efficient; marginal social benefit exceeds marginal social cost B) efficient; marginal social benefit equals marginal social cost C) not efficient; marginal social benefit exceeds marginal social cost D) not efficient; marginal social benefit equals marginal social cost
The cross elasticity of demand for complementary products must:
a. be greater than one. b. be less than one. c. be zero. d. exceed zero. e. be negative.
Fill out the table and answer the question below. 
Marginal product is negative when ________ units of labor are employed.
A. 5 units of labor are employed. B. 7 units of labor are employed. C. 6 units of labor are employed. D. both b and c.
Suppose the people in my town hear a rumor that their local bank is in trouble and all rush to withdraw money from the bank. This is referred to as:
A. a moral hazard problem. B. leverage. C. a bank run. D. a bad precedent problem.