Assume that $1 equals 100 yen (¥). A Japanese visitor to the United States wants to pay her $400 hotel bill. How many yen should she exchange in order to have enough dollars to pay the bill?
A) ¥4
B) ¥40
C) ¥4,000
D) ¥40,000
D
You might also like to view...
An increase in the money supply is represented by a(n):
a. rightward shift of the downward-sloping money supply curve. b. upward shift of the money supply curve. c. rightward shift of the money supply curve. d. increase in the rate of interest.
Assume that business investment spending rises, and the increase is funded by greater borrowing in the capital markets. If the nation has low mobility international capital markets and a fixed exchange rate system, what happens to the current international transactions balance and monetary base in the context of the Three-Sector-Model? a. The current international transactions balance rises and
monetary base rises. b. The current international transactions balance falls and monetary base falls. c. The current international transactions balance falls and monetary base rises. d. The current international transactions balance and monetary base remain the same. e. There is not enough information to determine what happens to these two macroeconomic variables.
Market participants are likely to save a portion of current income if they
A. Believe that banks might fail. B. Place a higher value on current consumption than on future consumption. C. Place a higher value on future consumption than on current consumption. D. Believe that money will lose much of its value in the future. In deciding to save rather than spend, people effectively reallocate their spending over time. That is, people save now in order to spend more in the future.
The spirit of equating marginal cost with marginal revenue is NOT held by:
A. oligopolistic firms. B. perfectly competitive firms. C. perfectly competitive firms and oligopolistic firms. D. None of the answers is correct.