A depreciating nominal exchange rate results from
A) a depreciating real exchange rate.
B) a low domestic inflation rate relative to the foreign inflation rate.
C) an appreciating real exchange rate.
D) a large government budget deficit.
A
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Refer to Above Figure, an increase in population would be represented by a movement from
a. S1 to S2 b. D1 to D2 c. B to A d. B to C.
The Consumer Price Index measures the average prices paid by
A) businesses for a fixed market basket of resources. B) urban consumers for a fixed market basket of goods and services. C) businesses and consumers for a market basket of goods and services. D) urban consumers for the goods and services that most frequently change in price. E) businesses for the most frequently used basket of resources.
At any point below the current LM curve there is an
A) excess demand for money. B) excess supply of money. C) excess demand for goods. D) excess supply of goods.
Faster economic growth in the United States may lead to the serious macroeconomic problem of higher
a. levels of unemployment. b. federal budget deficits. c. levels of inflation. d. levels of poverty.