Which of the following might cause a depreciation of the U.S. dollar versus the Japanese yen?
A. A recession in the United States.
B. A recession in Japan.
C. A greater demand for U.S. coal by Japan.
D. More Japanese visitors to Hawaii.
Answer: B
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Which market adjusts the quickest in response to shocks to the economy?
A) The asset market B) The labor market C) The goods market D) The asset, labor, and goods markets adjust at about the same speed to eliminate a disequilibrium in the macroeconomy.
Antitrust risks from vertical integration are usually ______than those from horizontal integration
a. Higher b. Lower c. About the same as d. None of the above
Risk pooling:
A. reduces the chances of catastrophes happening. B. lowers the costs of catastrophes when they occur. C. allows individuals the peace of mind that they will never have to pay the full expense of a catastrophe if it hits them. D. All of these statements are true.
To create a market
A) roles must be assigned. B) agents need instructions. C) property rights must be defined. D) transactions costs must be zero.