When a country's nominal exchange rate depreciates, the price of
A) that country's goods abroad increases.
B) that country's goods abroad decreases.
C) foreign goods sold in the country decreases.
D) that country's goods produced and sold at home decreases.
B
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According to the law of one price, if the price of Colombian coffee is 100 Colombian pesos per pound and the price of Brazilian coffee is 4 Brazilian reals per pound, then the exchange rate between the Colombian peso and the Brazilian real is
A) 40 pesos per real. B) 100 pesos per real. C) 25 pesos per real. D) 0.4 pesos per real.
scarcity
What will be an ideal response?
Overall NAFTA has resulted in
A. Very little change in any of the three countries. B. Massive unemployment and recessions. C. Increased economic growth and employment in Mexico at the expense of the United States. D. Accelerated economic growth and reduced inflationary pressures in Canada, Mexico, and the United States.
Mary says, "You would have to pay me $50 to attend that pro wrestling event." For Mary, the marginal utility of the event is:
A. zero. B. positive, but declines rapidly. C. negative. D. positive, but less than the ticket price.