The foreign exchange market is
A) a market in which exchange rates are allowed to fluctuate in the open market in response to changes in supply and demand.
B) the increase in the exchange value of one nation's currency in terms of an other nation.
C) a market in which households, firms, and governments buy and sell national currencies.
D) the decrease in the exchange value of one nation's currency in terms of another nation.
Ans: C) a market in which households, firms, and governments buy and sell national currencies
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If one firm left a duopoly market where the firms did not cooperate then
a. price and quantity would rise b. price would rise and quantity would fall. c. quantity would rise and price would fall. d. quantity and price would fall.
Which statement is true?
A. President Eisenhower did not attempt to undo the legacies of the New Deal, such as Social Security and unemployment insurance. B. There was a major tax increase in 1964. C. A war in Vietnam and a "war on poverty" in the Johnson Administration helped to reduce the federal budget deficit. D. None of the choices are true.
The aggregate demand increases, if
A) the government increases spending. B) the Fed sells government bonds. C) the government increases taxes. D) the Fed raises the discount rate.
A given short-run Phillips curve shows that an increase in the inflation rate will be accompanied by a lower unemployment rate in the short run
a. True b. False Indicate whether the statement is true or false