An increase in the inflation rate of one country relative to another country will probably cause
A. an increase in the amount of official reserves held by the inflating country's central bank.
B. a balance of trade deficit for the inflating country.
C. a current account surplus for the inflating country.
D. an increase in exports for the inflating country.
Answer: B
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Abstraction ignores many details in order to focus on the most important elements of a problem
a. True b. False Indicate whether the statement is true or false
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Suppose Chip's Chips produces bags of potato chips. An example of a variable cost for this firm would be:
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