International trade under a floating exchange rate system
A. has been trouble-free owing to the stabilizing role of speculators in the currency markets.
B. has suffered from so many problems that the volume of trade has declined significantly.
C. exposes businesses to unavoidable risks when exchange rates change.
D. has been subject to wild runs on currencies that were on the verge of devaluation.
Answer: C
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The emigration of some of Whoville’s workers reduces the quantity of thingamabobs supplied at every price by 50. The new supply curve will ____ the old supply curve.
A. be steeper and less elastic at every price than B. have the same slope and the same elasticity at every price as C. have the same slope and be more elastic at every price than D. More information is needed to predict the relationship between the elasticities of the two supply curves.
If the quantity of donuts supplied is represented by the supply equation QS = -15 + 5P, then to solve for the price of donuts, the equation would be rewritten as
A) P = 5QS + 75. B) P = 15 - 0.5QS. C) P = QS - 7.5. D) P = 0.2QS + 3.
How can we use the information from the table shown to compare the real value of the 1979 salary to that of the one earned in 2009?
A. You can see that the salary has increased from $43,265 to $170,844.
B. You need to put the 2009 salary into real 2009 terms to compare it to 1979.
C. You need to put both salaries into real dollars in the same year for comparison.
D. There is no real way to compare the two without more information.
Average labor productivity equals:
A. average production per year. B. output per person. C. total output. D. output per employed worker.