Assume that U.S. imports remain constant while U.S. exports change, ceteris paribus. Which of the following statements is correct?
a. A decrease in U.S. exports increases U.S. net exports.
b. An increase in U.S. exports shifts the aggregate demand curve rightward.
c. An increase in U.S. exports decreases U.S. net exports.
d. A decrease in U.S. exports shifts the aggregate demand curve rightward.
b. An increase in U.S. exports shifts the aggregate demand curve rightward.
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Last year the exchange rate between U.S. dollars and Mexican pesos was 10 pesos per dollar. Today is it 11 pesos per dollar. Here, the dollar ________ against the peso, and the peso ________ against the dollar
A) appreciated; depreciated B) depreciated; appreciated C) appreciated; appreciated D) depreciated; depreciated
In 1996, an advisory committee of economists that studied the CPI found
a. no bias in the CPI b. that in a typical year the CPI overstates the inflation rate by at least 1.1 percent per year c. that the CPI consistently overestimates the inflation rate by less than 1 percent per year d. that the CPI typically underestimates the inflation rate e. that the CPI is somewhat erratic; it occasionally underestimates and occasionally overestimates the inflation rate
If Japan has a current account surplus, then it must:
A. have an offsetting capital account deficit. B. also have a surplus in its capital account. C. import more goods than it exports. D. have a positive balance of payments.
In a certain economy, the components of aggregate spending are given by: C = 500 + 0.8(Y - T) - 300rI = 200 - 400rG = 200NX = 10T = 150 Given the information about the economy above, which expression below also states aggregate expenditure?
A. [910 - 700r] B. [910 - 700r] + 0.8Y C. [790 - 700r] D. [790 - 700r] + 0.8Y