An increase in the real exchange rate
A) makes imports more expensive.
B) makes imports less expensive.
C) does not affect import values.
D) always makes the number of imports rise.
E) makes domestic consumers spend more on only foreign imports.
A
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The soft drink industry can best be described as:
A) an oligopoly. B) a monopoly. C) perfectly competitive. D) monopolistically competitive.
Anti-inflationary policy is less costly when that policy is anticipated in ________
A) traditional Keynesian theory B) new Keynesian theory C) real business cycle theory D) institutionalist theory
To convert U.S. dollars into another currency, _____.
(A) Divide the number of dollars by the number of units of the other currency. (B) Divide the rate of exchange by the number of units of the other currency. (C) Multiply the number of dollars by the number of units of the other currency per dollar. (D) Multiply the number of units of the other currency by the number of dollars.
The law of diminishing marginal utility
a. is another way of expressing the law of demand b. states that people's inclination to consume basic goods falls as incomes increase c. shows that goods lose their individual values as the total utility of all goods decreases d. is the utility equivalent to the law of increasing costs e. states that total utility rises at a decreasing rate as consumption increases