Ceteris paribus, if interest rates in the United States rise relative to those abroad, then the surplus in the U.S. capital account would
A. Grow larger and the dollar would appreciate.
B. Become smaller and the dollar would depreciate.
C. Become smaller and the dollar would appreciate.
D. Grow larger and the dollar would depreciate.
Answer: A
You might also like to view...
Perfect competition and monopolistic competition are similar in that firms in both types of market structure will
A) act as price takers. B) produce a level of output where price equals marginal cost. C) earn zero profit in the long run. D) act as price setters.
The monopolist faces a:
A. perfectly elastic demand curve. B. downward sloping demand curve. C. perfectly inelastic demand curve. D. perfectly elastic supply curve.
Early unions were considered by the courts to be
a. harmless b. legal if they operated within a state's borders c. a criminal conspiracy d. in the public's interest e. illegal only in transportation industries such as railroads
Suppose the demand for Tesla cars decreases and the supply of Teslas increases. What effect will it have on the equilibrium price for Tesla cars?
a. There will be no change b. Uncertain c. It will fall d. It will rise