The value of a euro goes from 1€ = US$1.25 to 1€ = US$1.50. In Germany, exports:
A. will increase, and imports will decrease.
B. and imports will increase.
C. will decrease, and imports will increase.
D. and imports will decrease.
C) will decrease, and imports will increase
You might also like to view...
The federal funds rate is the interest rate:
a. U.S. financial institutions pay to their best (i.e., largest) depositors. b. U.S. financial institutions charge their best customers. c. On U.S. interbank loans. d. The Federal Reserve changes banks that borrow from it. e. The World Bank charges to central banks.
Funding for a stadium or arena may be obtained through all of the following methods except
a. loans b. general obligation bonds c. tax revenue bonds d. tax exemptions e. none of these
Espresso Yourself Coffee Shop hires workers in a competitive labor market to make coffee. The ingredients required to make each cup of coffee cost 50 cents. The coffee shop's hourly output of coffee varies with the number of workers hired, as shown in the table. Each cup of coffee sells for $2.00.Number ofworkersCoffee(cups/hour)00125245360470575 The dollar value to the coffee shop of hiring the fifth worker is ________ per hour.
A. $7.50 B. $5.00 C. $2.00 D. $1.50
Which of the following would supply-side economists advocate?
I. reducing tax rates in order to encourage people to work more II. providing investment tax credits to stimulate capital formation spending III. increasing government spending IV. increasing transfer payments to those who want to be retrained for employment A) I, II, III, and IV B) I, II, and III only C) I, II, and IV only D) I and II only