Purchasing power parity determines the exchange rate in
A) the short run.
B) nations that do not allow their exchange rate to fluctuate.
C) the long run.
D) the long run and the short run.
E) theory only, but not in reality.
C
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Consumer preferences
a. do not vary from one consumer to another b. have little to do with personal tastes and income c. are not influenced by the utility of goods d. are individual evaluations of goods and services e. can be objectively measured and compared across individuals
When a price control pushes the price of a good or resource below the market equilibrium, then
What will be an ideal response?
Economists have suggested that the relatively higher unemployment in Europe has been caused by which of the following?
A) relatively high unemployment benefits B) relatively high level of worker protection C) inadequate macroeconomic policies D) increased labor costs E) all of the above