Everything else remaining the same, in the foreign exchange market, which of the following increases the supply of U.S. dollars?
A) The U.S. interest rate rises.
B) The U.S. interest rate differential increases.
C) The expected future exchange rate rises.
D) The European interest rate rises.
E) The exchange rate falls.
D
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If you put $100 into a bank account that earns five percent interest per year, what is the formula you should use to determine the account's future value in one year?
A) Future value = [Present value × (1 + i)] B) Future value = (Present value × i) C) Future value = (Present value / i) D) All of these yield the same answer.
Economist Douglass North suggests that the term used to describe government bodies, development agencies, and international groups should be:
A. groups. B. institutions. C. agencies. D. organizations.
The LM curve
A. is vertical. B. slopes downward. C. slopes upward. D. is horizontal.
Suppose there are 100 firms each with a short run total cost of STC = q2 + q + 10, so that marginal cost is MC = 2q +1 . If market demand is given by QD = 1050 ? 50P, how much will the individual firm produce?
a. 3 b. 4 c. 5 d. 6