An export subsidy is
A) a payment to a firm or individual that ships a good abroad.
B) a fee that is charged to a country that ships goods to the U.S.
C) a payment made to a foreign government in return for preferential trade treatment.
D) illegal in the U.S. but is fairly common in the rest of the world.
E) a limit on the quantity of a good or service that can be sold abroad.
A
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Fiscal policy refers to changes in
A) the money supply and interest rates that are intended to achieve macroeconomic policy objectives. B) federal taxes and purchases that are intended to fund the war on terrorism. C) state and local taxes and purchases that are intended to achieve macroeconomic policy objectives. D) federal taxes and purchases that are intended to achieve macroeconomic policy objectives.
__________ are what is available to be used. They produce valued results. They are assets used to satisfy some need
a. Resources b. Goals c. Values d. Attitudes
When a country suffers from a speculative attack:
A. the supply of currency available shifts right. B. it lowers the equilibrium exchange rate. C. it forces the government to spend its reserves to defend its fixed exchange rate. D. All of these statements are true.
Distinguish the terms price ceiling and price floor