The nominal exchange rate (E) as defined in the text represents
A) the number of units of foreign currency you can obtain with one unit of domestic currency.
B) the number of units of domestic goods you can obtain with one unit of foreign goods.
C) the price of domestic currency in terms of foreign currency.
D) none of the above
E) both A and C
E
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Farming in the New England colonies tended to be
(a) large scale. (b) worked by slaves. (c) small scale and worked by members of the family. (d) exported to England and its trading partners for high profits.
Starting from long-run equilibrium, a large decrease in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; lower; potential B. expansionary; higher; potential C. recessionary; lower; potential D. recessionary; lower; lower
A major criticism of monopolies is that they
A.) inhibit technological innovation. B.) limit consumption choices C.) experience economies of scale. D.) Both A and B are true.
Refer to the table below. The market price of the product in the short run is:
Use the table below to answer the question for a purely competitive firm.
A. $40
B. $80
C. $120
D. $160