If the exchange rate between the U.S. dollar and Japanese yen changes from $1 = 100 yen to $1 = 90 yen, then
A. U.S. auto producers and autoworkers will lose.
B. All Japanese producers and consumers will lose.
C. U.S. consumers of Japanese TV sets will benefit.
D. Japanese tourists visiting the United States will benefit.
Answer: D
You might also like to view...
Why is the real-world deposit multiplier smaller than 1/RR, where RR is the required reserve ratio?
What will be an ideal response?
To decrease supplier power, the firm can
a. Increase rivalry among its suppliers b. Buy from multiple suppliers c. Both A&B d. None of the above
A profit-maximizing monopolist
a. is just as socially efficient as a perfectly competitive firm in allocating resources to production since she, too, seeks the largest return on his investment. b. produces an output level at which marginal utility exceeds marginal cost. c. produces more output than a perfectly competitive industry. d. always produces in the inelastic region of his demand curve.
Explain the natural unemployment rate and its relationship to inflation rate
What will be an ideal response?