According to the foreign trade effect, when the U.S. price level decreases, U.S. consumers are likely to buy:
A. More American-made products.
B. Different American-made products.
C. More foreign-made products.
D. Less of all products, both American made and foreign made.
A. More American-made products.
You might also like to view...
The labor force participation rate is calculated as the
A) labor force divided by the number of persons employed then multiplied by 100. B) number of persons unemployed divided by the labor force then multiplied by 100. C) labor force divided by the unemployment rate then multiplied by 100. D) labor force divided by the working age population then multiplied by 100.
The figure above shows supply curves for soft drinks. Suppose the economy is at point a. A decrease in the price of sugar used to make soft drinks is shown as a movement from point a to a point such as
A) none of the points that are illustrated. B) point b. C) point c. D) point d.
An example of unplanned investment is
a. an unexpected fire requires that an entire factory be rebuilt. b. a bridge collapses and requires unexpected repair cost. c. machine tool companies are forced to install new equipment to be able to meet Japanese competition. d. None of these.
Mixed bundling may result in
A) less revenue compared to pure bundling. B) secondary market transactions between sellers in different markets. C) predatory pricing. D) greater revenue compared to pure bundling.