In the U.S. a candy bar costs $1 . If the nominal exchange rate were 6 Chinese yuan per dollar and the real exchange rate were 1.2, then, what would be the price of a candy bar in China?
a. 7.2 yuan
b. 6 yuan
c. 5 yuan
d. 3.6 yuan
c
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In the above figure, the long-run equilibrium real GDP is
A) $10 trillion. B) $11 trillion. C) $12.trillion D) not displayed.
Which of the following is not a reason why low-income countries might experience low economic growth?
A) The country has a good education system. B) The country has a low rate of saving and investment. C) The country has endured extended periods of war. D) The country fails to enforce a rule of law.
Minimum wage legislation:
a. sets a price ceiling above the market-clearing price. b. has no impact if the minimum wage is above the market-clearing price. c. has the same impact in all labor markets. d. creates unemployment when the minimum wage is above the equilibrium wage. e. is opposed by organized labor.
During the 1990s, many companies shifted from
A. the Mform to product-oriented organizations. B. the Mform to functional subunits. C. product-oriented organizations to functional subunits. D. functional subunits toward more product-oriented organizations.