If an exporter wants to limit the effect of possible changes in the exchange rate on the value of her exports, then she can adopt a strategy known as
A) floating.
B) speculating.
C) hedging.
D) appreciating.
Answer: C
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If a country's working-age population declines and its wealth increases, then the labor supply curve
A) shifts to the left if the effect of the change in wealth is bigger than the effect of the change in the working-age population. B) shifts to the right if the effect of the change in wealth is bigger than the effect of the change in the working-age population. C) shifts to the left. D) shifts to the right.
What is the opportunity cost of 1 automobile in terms of tractors for the U.S. and Japan, respectively?
A. 0.5 tractors and 2 tractors
B. 0.5 tractors and 1 tractor
C. 2 tractors and 1 tractor
D. 2 tractors and .25 tractors
Assuming the basic purpose is to raise additional revenue, should government levy an excise tax on cigarettes whose demand is highly inelastic or on a product whose demand is highly elastic? Are there any other reasons to levy such a tax?
What will be an ideal response?
Systematic efforts to extend vaccination throughout the world have produced a situation today in which the smallpox virus is
A) in short supply (a shortage exists). B) rare. C) scarce. D) all of the above.