If the rate of inflation in the U.S. falls relative to the rate of inflation in foreign nations, U.S. exports _______ and imports _______.
A. increase; decrease
B. decrease; increase
C. decrease; decrease
D. increase; increase
A. increase; decrease
You might also like to view...
Explain how the courts have ruled on price fixing
What will be an ideal response?
Why doesn't a perfectly competitive firm charge a price slightly higher than the industry price in order to earn extra profit?
Excise taxes are a form of sales tax.
Answer the following statement true (T) or false (F)
What is the proper characterization of the European Union (EU), and what is its primary accomplishment?
A. The EU is a regional trade bloc which controls the money supply in each member country. B. The EU is a trade treaty that provides a forum where member countries can resolve their trade disputes. C. The EU is a trading cooperative that protects member countries from unfair trade tactics by non-member countries. D. The EU is a regional trade agreement that has eliminated most trade barriers among member countries.