The PPP theory is most useful in predicting:
A. short-run changes in the exchange rate for a country that mainly produces lightly-traded standardized goods.
B. long-run changes in the exchange rate for a country that mainly produces heavily-traded standardized goods.
C. long-run changes in the exchange rate for a country that mainly produces lightly-traded non-standardized goods.
D. short-run changes in the exchange rate for a country that mainly produces heavily-traded standardized goods.
Answer: B
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If each customer is sold a product at a different price, then the firm is practicing
A) perfect price discrimination. B) second-degree price discrimination. C) third-degree price discrimination. D) product differentiation.
Which of the following disciplines is not part of the social sciences?
a. mathematics b. sociology c. anthropology d. psychology e. economics
Which of the following is not a component in the two sector circular flow model?
A. Business Sector B. Government Sector C. Real Flows D. The Resource or Factor Market
All else equal, depreciation of the Mexican peso relative to the U.S. dollar would make a trip by:
A. an American to Mexico more expensive. B. a Mexican to the United States less expensive. C. an American to Mexico less expensive. D. an Australian to the United States more expensive.