If people in the United States buy more of a foreign good when its price falls, then
A. the exchange rate will increase when there is inflation.
B. the demand curve for U.S. dollars will slope up.
C. the supply curve for U.S. dollars will slope up.
D. fixed exchange rates will make foreign exchange markets more efficient.
Answer: C
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Refer to Figure 4-10. What area represents the deadweight loss after the imposition of the ceiling?
A) J + H B) C + E C) C + E + J + H D) G + H
The first successful application of continuous process manufacturing was in:
a. textile mills. b. automobile manufacturing. c. manufacturing of guns. d. grain milling.
Suppose a consumer's MRS is given by the formula MRSPT = T/P, where P stands for the number of pieces of pizza and T stands for the number of tacos. Starting at 12 tacos and 4 pizzas, the consumer must receive:
A. 3 tacos to compensate them for the loss of one piece of pizza. B. 3 pieces of pizza to compensate them for the loss of one taco. C. 1/3 taco to compensate them for the loss of one piece of pizza. D. 1/3 piece of pizza to compensate them for the loss of one taco.
What does it mean to say that an asset is "liquid"?
What will be an ideal response?