If the nominal exchange rate between the American dollar and the New Zealand dollar is 1.36 New Zealand dollars per American dollar, how many American dollars are required to buy a product that costs 3.50 New Zealand dollars?
A) $2.14
B) $2.24
C) $2.57
D) $4.76
Answer: C
You might also like to view...
Allegiant Air holds a natural monopoly on most of the routes it serves in the United States. Allegiant Air's marginal revenue will ________ when its total revenue ________
A) equal $0; is maximized B) be negative; is maximized C) be positive; is maximized D) inelastic; is increasing E) elastic; is increasing
Comparative advantage cannot account for a significant portion of world trade
Indicate whether the statement is true or false
In an open economy, there should be a
a. close positive relationship between investment and savings. b. a close positive relationship between trade deficits and investment. c. a negative relationship between trade deficits and savings. d. a positive relationship between a country's savings rate and higher domestic interest rates.
Reliant assets are always all of the following except:
a. durable b. have substantially less value in second best use c. dependent on unique complementary inputs d. pivotal in designing strategy