When the U.S. real interest rate falls
a. U.S. purchases of foreign assets and foreign purchases of U.S. assets rise
b. U.S. purchases of foreign assets rise and foreign purchases of U.S. assets fall
c. U.S. purchases of foreign assets fall and foreign purchases of U.S. assets rise
d. U.S. purchases of foreign assets and foreign purchases of U.S. assets fall
b
You might also like to view...
Explain the income effect and the substitution effect due to an increase in the wage rate
What will be an ideal response?
Perfectly competitive firms produce up to the point where the price of the good equals the marginal cost of producing the last unit. This condition is referred to as
A) allocative efficiency. B) constant returns to scale. C) perfectly competitive efficiency. D) productive efficiency.
The payments you make on your automobile loan are given in terms of dollars. As prices rise you notice you give up fewer goods to make your payments
a. The dollar amount you pay is a nominal value. The number of goods you give up is a real value. b. The dollar amount you pay is a real value. The number of goods you give up is a nominal value. c. Both the dollar amount you pay and the goods you give up are nominal values. d. Both the dollar amount you pay and the goods you give up are real values.
When Acme Dynamite produces 250 units of output, its variable cost is $2,000, and its fixed cost is $500. It sells each unit of output for $25. When Acme Dynamite produces 250 units of output, its profit is:
A. $6,250 B. $3,750 C. $4,250 D. $5,750