If the U.S. exchange rate rises, the price to foreigners of U.S.-produced goods and services ________ and the quantity of U.S. dollars demanded ________
A) rises; decreases
B) rises; increases
C) falls; decreases
D) falls; increases
A
You might also like to view...
For the purposes of GDP accounting, government purchases include:
A. the purchases of new military equipment. B. Social Security payments. C. direct transfer payments by the government to other individuals. D. welfare payments.
If a country is currently producing inside its production possibilities curve
A. it can increase the production of both goods by putting unemployed resources to work. B. it is experiencing efficient production of one good but not the other. C. it can increase the production of one of the goods only if it reduces the production of the other good. D. None of these are correct.
If an industry's long-run per-unit costs decrease as its output increases then
A) the firm's long-run economic profits must be less than zero. B) the firm is most likely a decreasing-cost industry. C) the firm is most likely an increasing-cost industry. D) the firm is most likely a constant-cost industry.
If a country wants to keep the value of its currency fixed, then its central bank should
A. sell its domestic currency when there is an increase in the supply of that currency. B. buy domestic goods when there is an increase in the supply of its domestic currency. C. buy its domestic currency when there is an increase in the supply of that currency. D. sell domestic goods when there is an increase in the supply of its domestic currency.