________ in the foreign interest rate causes the demand for domestic assets to decrease and the domestic currency to ________, everything else held constant

A) An increase; appreciate
B) An increase; depreciate
C) A decrease; appreciate
D) A decrease; depreciate


B

Economics

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When external costs are present,

A) competitive, unregulated markets are efficient. B) transaction costs will be high. C) a tax might be able to create efficiency. D) property rights have already been established.

Economics

According to the graph shown, the monopolistically competitive firm:

These are the cost and revenue curves associated with a monopolistically competitive firm.

A. will cause deadweight loss equal to area C.
B. will earn profits equal to area B.
C. should act like a monopolist in the short run.
D. should leave the industry in the long run.

Economics

If a new computer program was developed that dramatically improved productivity in most firms, what would happen in the labor market?

a. The real wage would not change but employment would decrease. b. The real wage would increase and employment would decrease. c. The real wage would decrease and so would employment. d. The real wage would decrease and employment would increase. e. The real wage would increase and so would employment.

Economics

What can be said about the demand and supply of natural resources?

a. The quantity demanded of a natural resource will generally be less responsive to a change in price in the long run than in the short run. b. The supply of a natural resource will generally be more responsive to a price change in the long run than in the short run. c. The supply of a natural resource is fixed by nature; it cannot be responsive to a price change in the long run. d. None of the above is correct.

Economics