What are the influences on the supply of U.S. dollars in the foreign exchange market?
What will be an ideal response?
The supply of U.S. dollars depends on four main factors: the exchange rate, the U.S. demand for imports, the interest rate in the United States and other countries, and the expected future exchange rate.
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Refer to the figure above. What is the change in consumer surplus when the market changes from perfect competition to a monopoly?
A) The consumer surplus increases by 30 units. B) The consumer surplus decreases by 45 units. C) The consumer surplus increases by 90 units. D) The consumer surplus decreases by 135 units.
Farmers who joined the Greenback Party in the late-19th century felt that
a. the government should make efforts to curb the inflation that the country was experiencing. b. farm prices were too high in comparison to the overall price-level of the economy. c. the government should own all transportation and communication facilities. d. an increase in the money supply would benefit debtors.
When a negative externality exists in a market, total surplus:
A. is decreased by deadweight loss compared to that same market without a negative externality. B. is the same as a market without a negative externality. C. is increased by deadweight gain compared to that same market without a negative externality. D. is the same but re-distributed differently than if that same market did not have a negative externality.
What role do losses play in a competitive market
What will be an ideal response?