A U.S. mutual fund uses $1 million to buy yen from a Japanese bank. It then uses these yen to buy stocks in a Japanese electronics firm. The Japanese electronic firm then exchanges the $1 million dollars of yen for dollars from a U.S. bank. It uses
these dollars to buy equipment manufactured by a company located in the U.S. As a result of these exchanges, by how much, if at all, and in which direction does: A. U.S. net exports change? B. U.S. net capital outflow change?
A. U.S. net exports rise by $1 million.
B. U.S. net capital outflow rise by $1 million.
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Goods X and Y are complementary goods. An increase in the price of good X has occurred. In the market for good Y this will lead to
A) an increase in price and a decrease in quantity. B) an increase in price and an increase in quantity. C) a decrease in price and a decrease in quantity. D) a decrease in price and an increase in quantity.
Less-developed countries are experiencing rapid population growth because _____
a. birthrates are rising at a slower rate than mortality rates b. birthrates are falling while mortality rates are rising c. both birthrates and mortality rates are falling d. birthrates are rising while mortality rates are falling e. birthrates are constant and mortality rates are rising
Phrases such as "unbreakable bottle," "non-shrink," "extra spicy," and "nonstick surface" are generally used in advertisements for products sold in perfectly competitive markets
a. True b. False Indicate whether the statement is true or false
The maximin criterion can be defined as which of the following?
A. One seeks the maximum of the minimum payoffs to the various available strategies. B. One seeks the minimum of the maximum losses among the various available strategies. C. One seeks the maximum of the minimum losses to the various available strategies. D. One seeks the maximum of the maximum gains of the various available strategies.