Refer to Table 4-4. If a minimum wage of $9.50 is mandated there will be a

Draw the demand for and supply of the U.S. dollar in each of the following cases. Diagram and explain in words the effect of each of the following events in the short run. Make sure to properly label the axes

In each case, assume the two countries under consideration are important trading partners. (a) There is an increase in the real interest rates in the United States relative to Japan. (b) Investment returns in the United States decrease relative to expected returns in Japan. (c) Inflation in Japan fell relative to the inflation rate in the United States. (d) The Japanese expect the value of the U.S. dollar to decline. (e) The Federal Reserve raised interest rates fearing the inflationary pressures of a booming U.S. economy.

In monopolistically competitive markets, economic profits ____, and ____ shifts the demand curve of the remaining firms to the ____

a. signal some remaining firms to exit; exit; right b. signal some remaining firms to exit; exit; left c. signal new firms to enter; entry; left d. signal new firms to enter; entry; right

The chief economist of the country of Elbonia has predicted that the new policies adopted by the government will lead to higher economic growth accompanied by lower rates of inflation. The currency of Elbonia is expected to: a. weaken

b. appreciate. c. depreciate. d. devaluate.

If the full-employment level of income in Figure 9.7 is $200 billion, there is

A. A recessionary gap of $100 billion per year. B. An inflationary gap of $100 billion per year. C. A recessionary gap of $200 billion per year. D. Achievement of macro equilibrium.