The theory of the relationship between balance of payment and exchange rates that deals with the size of a nation's expenditures is called

A) the absorption approach.
B) the elasticities approach.
C) the Marshall Lerner condition.
D) the exchange rate condition.


A

Economics

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The graph shown demonstrates a tax on sellers. Which of the following can be said about the effect of this tax?



The graph shown demonstrates a tax on sellers. Which of the following can be said about the A. The tax creates a shortage, and rationing must occur.
B. The tax creates a surplus, and the government must buy the excess.
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If average labor productivity decreases, then the same number of employed workers will always produce:

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