The problem of political instability has been greatest in which continent?
A. South America
B. Europe
C. Asia
D. Africa
Answer: D
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The U.S. dollar exchange rate, e, where e is the nominal exchange rate expressed as Japanese yen per U.S. dollar, will appreciate when:
A. U.S. consumers increase their preference for Japanese cars. B. the Bank of Japan tightens monetary policy. C. real GDP in the U.S. increases. D. the U.S. Federal Reserve tightens monetary policy.
If a large percentage increase in the price of a good results in a small percentage reduction in the quantity demanded of the good, demand is said to be
a. horizontal. b. relatively inelastic. c. relatively elastic. d. income proof.
The term market mechanism refers to
A. Resource allocation based on a production possibilities curve. B. Resource allocation based on consumer needs. C. The use of market prices and sales to signal desired output. D. Government laws and regulations concerning how the market should operate.
Corporation income taxes are not levied on the income of partnerships or proprietorships.
Answer the following statement true (T) or false (F)