If the cost of a typical basket of goods in the U.S. is $100 and in Germany it is 200 euros, and the nominal exchange rate is 0.7 euro per dollar, what is the real exchange rate?
A. 0.35.
B. 0.50.
C. 3.50.
D. 1.50.
A. 0.35.
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Which of the following countries went through a financial crisis in 1997?
a. Russia b. Canada c. Italy d. India e. Korea
If a nation begins to export a good,
a. the domestic price of that good will decrease b. that country will typically erect barriers to trade c. domestic producers of the good will be harmed d. domestic consumers of the good will be harmed e. both domestic consumers and domestic producers will benefit
A document requesting payment 30 days after delivery is known as a ________.
A) time draft B) sight draft C) spot draft D) futures draft
Discuss differences in production technologies available in various countries as a basis for comparative advantage. In your answer, include a discussion of the role of and the location of R&D. In your answer, include a discussion of the role of and the location of R&D.
What will be an ideal response?