If there is unrest in the Middle East, and Saudi Arabian investors purchase German securities, the
A) demand for Saudi Arabian currency will fall.
B) demand for Saudi Arabian currency will rise.
C) supply of Saudi Arabian currency will fall.
D) supply of Saudi Arabian currency will rise.
D
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An individual who wants to stop smoking but chooses not to
A) reflects future bias. B) reflects present bias. C) reflects irrationality. D) reflects uncontrollable addiction.
Which of the following is a property of an indifference curve? a. An indifference curve typically slopes downward
b. Two indifference curves always intersect. c. An indifference curve generally follows the principle of less is better. d. The value of utility changes along an indifference curve.
If the interest rate were 12.5 percent, how much would people be willing to pay for a stock that was certain to yield a $20 per share stream of net earnings continuously in the future?
a. $20 b. $25 c. $160 d. $250
Extreme monetarists assert that changes in the money supply
A. Affect prices and the unemployment rate. B. Can affect only real GDP. C. Can affect only the price level. D. Affect prices and real GDP.