If, as a result of market forces, the exchange rate changes from $1 equals 11 pesos to $1 equals 9 pesos, then the dollar has
A) appreciated.
B) been revalued.
C) been devalued.
D) depreciated.
E) There is not enough information to answer the question.
D
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What does the aggregate demand curve show? What factors change and what factors remain the same when there is a movement along the aggregate demand curve?
What will be an ideal response?
Because of the value of things produced in households,
a. the GDP value is adjusted upward. b. the GDP value is adjusted downward. c. GDP is probably somewhat smaller than true total output. d. GDP is probably somewhat larger than true total output.
If a good is a Giffen good, then
a. the supply curve is downward sloping. b. the demand curve is upward sloping. c. the demand curve is horizontal. d. there is no optimal level of consumption for the consumer.
Both firms in a Cournot duopoly would enjoy higher profits if:
A. the firms simultaneously reduced output below the Nash equilibrium level and one firm reduced output below the Cournot Nash equilibrium level, while the other firm continued to produce its Cournot Nash equilibrium output. B. one firm reduced output below the Cournot Nash equilibrium level, while the other firm continued to produce its Cournot Nash equilibrium output. C. each firm simultaneously increased output above the Nash equilibrium level. D. the firms simultaneously reduced output below the Nash equilibrium level.