When the nominal exchange rate changes from 4 francs per dollar to 6 francs per dollar, the dollar has:
A. become undervalued.
B. become overvalued.
C. appreciated.
D. depreciated.
Answer: C
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In perfect competition, one result of the model was that there were no economic profits in the long run. In a monopoly, the firm typically earns a positive economic profit. Why is there this difference?
What will be an ideal response?
A monopolist will maximize profits by producing a quantity specified by setting marginal revenue equal to marginal cost
a. True b. False Indicate whether the statement is true or false
An economic boom in one country usually causes a recession in other countries
a. True b. False Indicate whether the statement is true or false
Total cost includes:
A. the amount the firm spends on all inputs that go into the production of a good or service. B. one-time expenses and ongoing expenses. C. forgone opportunity costs. D. All of these are true.