When the average price level in the United States, relative to the average price levels in other countries, rises, this tends to
A. raise imports and exports.
B. lower imports and exports.
C. raise imports and lower exports.
D. lower imports and raise exports.
C. raise imports and lower exports.
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An increase in the size of the working-age population
A. decreases labor supply. B. decreases labor demand. C. increases labor supply. D. increases labor demand.
If Matt's disposable income increases from $4,000 to $4,500 and his level of saving increases from $200 to $325, it may be concluded that his marginal propensity to:
A. save is 0.30. B. consume is 0.80. C. consume is 0.75. D. save is 0.60.
One of the most important and most visible roles of the IMF is to
A) hold regular negotiations over tariff reductions. B) investigate countries that are charged with being unfair traders. C) provide loans to countries that need capital to develop their economies. D) intercede by invitation when countries cannot pay their international debts. E) serve as a forum for negotiating free trade agreements between groups of nations.
If higher tariffs and more restrictive quotas reduced the imports of the United States,
A) unemployment in the United States would decline. B) U.S. exports would also increase because foreigners would want to buy more from U.S. producers. C) U.S. exports would decline because foreigners would be earning fewer of the dollars needed to purchase goods and services from Americans. D) U.S. employment would increase.