How can trade policy, fiscal policy, and monetary policy be used to support fixed exchange rates when there is a surplus of U.S. dollars?
What will be an ideal response?
Any existing trade restrictions on U.S. products can be relaxed to encourage the purchase of U.S. goods and dollars. In general, expansionary fiscal and monetary policy is called for by U.S. trading partners. This action will increase the demand for imports from the United States, thus increasing the demand for dollars in currency markets.
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On a two-dimensional graph, ________ allows for the effects of additional variables
A) adding an additional curve B) eliminating a curve C) moving along a curve D) shifting curves
When the economy is initially at full employment:
a. expansionary monetary policy will tend to increase the price level in the short run and the long run. b. expansionary monetary policy will tend to increase the price level in the short run but not the long run. c. expansionary monetary policy will tend to increase the price level in the long run but not the short runq d. expansionary monetary policy will not tend to increase the price level in the short run or the long run.
Consumer surplus is the difference between the worth of a commodity to the consumer and the price the consumer pays for the commodity
a. True b. False Indicate whether the statement is true or false
The Supreme Court's decision in the Standard Oil of New Jersey case was
A) to force the company to send refund checks to customers.
B) to force the company to pay $10 billion in fines.
C) to increase the fine imposed by a lower court.
D) to break up the company.