Exchange rates
a. are always fixed
b. fluctuate to equate the quantity of foreign exchange demanded with the quantity supplied
c. fluctuate to equate imports and exports
d. fluctuate to equate interest rates in various countries
e. fluctuate according to agreements between the governments of various countries
B
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Using the DD model, explain what happens to out put when Government demands increase. Use a figure to explain when it is taking place
What will be an ideal response?
A country that is a member of the World Trade Organization
A) can use tariffs and quotas to limit trade. B) can establish preferential trading arrangements with other countries. C) is allowed to eliminate all of its tariffs and quotas. D) All of the above.
A business incurs the following costs per unit: Labor - $125/unit; Materials $45/unit and rent - $25000/month. If the firm produces 1,000,00 . units a month, the total costs equal
a. $125,250,000 b. $170,250,000 c. $125,050,000 d. $170,050,000
A production possibilities frontier shifts outward when
a. the economy experiences economic growth. b. the desires of the economy's citizens change. c. at least one of the basic principles of economics is violated. d. opportunity costs are lessened.