Under a flexible exchange rate system an increase in the value of a currency relative to other currencies is a called a ________ and under a fixed exchange rate system an increase in the official value of a currency is called a ________.
A. depreciation; devaluation
B. depreciation; appreciation
C. appreciation; revaluation
D. revaluation; appreciation
Answer: C
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Which of the following is likely to shift the demand curve for corn farmers leftward, assuming all else equal?
A) A fall in the productivity of corn farmers due to increased pest attacks B) A rise in the productivity of farmers due to better fertilizers C) A fall in the wage rate of corn farmers D) A rise in the wage rate of corn farmers
Improving agriculture's terms of trade involves
a. increasing the amount of goods available to farmers b. increasing the number of markets in which farmers can sell c. increasing the amount of credit available to farmers d. increasing the relative price of agricultural goods compared to manufactured goods e. none of the above
Andre Agassi, a star tennis player, is playing the number one player in the world, Roger Federer
Before the match, Agassi decided that he would serve 20 percent of his serves to Federer's backhand, 30 percent of his serves to Federer's forehand, and 50 percent of his serves straight at Federer. In the language of game theory, this is known as: A) a pure strategy. B) a dominant strategy. C) a mixed strategy. D) a maximin strategy.
Which of the following would be included in this year's gross domestic product (GDP)?
a. One hundred shares of IBM stock that Tony sold this May b. A used car that Tracey sold to Justin c. George's purchase of a fishing rod and reel at a garage sale d. Sharon giving Dennis $20 as a reward for finding her ring e. A bucket of Kentucky Fried Chicken that Kate bought this July