Investment (I) in the United States may increase with either an increase in national saving or an increase in net foreign investment
Indicate whether the statement is true or false
FALSE
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Suppose we were analyzing the pound per Swiss franc foreign exchange market. If Switzerland's risk level rises relative to England and nothing else changes, then
a. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market falls, causing an uncertain change in the value of the Swiss franc. b. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing an appreciation of the Swiss franc. c. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market rises, causing an uncertain change in the value of the Swiss franc. d. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market rises, causing an appreciation of the Swiss franc. e. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing a depreciation of the Swiss franc.
The market tends to underproduce public goods because
A. The free-rider dilemma results in exclusive consumption of a good. B. The consumption of a public good by one person prevents the consumption of the same good by another person. C. Joint consumption allows those who do not pay for the good to still benefit from the good. D. It is difficult to measure the benefit of a public good such as national defense.
In a competitive market, a binding price ceiling causes _______ by ________.
A) market efficiency; increasing the economic surplus of the last unit of output produced and consumed B) market inefficiency; creating a deadweight loss in economic surplus C) market efficiency; increasing the amount produced and consumed D) market inefficiency; increasing the amount produced and consumed
Use the following table to answer the question below. Dave's Production Possibilities SchedulePounds of Green BeansPounds of Corn0160201204080604080 0Dave's production possibilities schedule demonstrates that
A. he can produce as much as he wants. B. he does face scarcity. C. he does not face scarcity. D. he can produce an unlimited amount of green beans if he gives up enough corn.