As the price of foreign exchange decreases relative to the U.S. dollar,
a. U.S. products become cheaper for foreigners
b. foreign goods become cheaper for Americans
c. more foreign currency is required to purchase a U.S. dollar
d. the U.S. demand curve for foreign exchange shifts to the right
e. the supply curve of foreign exchange to U.S. markets decreases
B
You might also like to view...
Under an upward sloping supply curve for land, the economic rents to land ________ as the demand for land shifts rightward
A) decrease B) increase C) remain the same D) We do not have enough information to answer this question.
Which of the following represents the basic principle of public choice theory?
a. Politicians act consistently in the public's interest. b. Politicians follow their own self-interest and seek to maximize their reelection chances, rather than promote the best interests of society. c. Politicians act in the public interest once they are elected, but follow their own self-interest and seek to maximize their reelection chances during a political campaign. d. None of the above answers are correct.
Why is it important for consumers to know the change in relative price of a good or service they consume?
a. It allows them to calculate the actual rate of inflation. b. It helps them understand whether they are still getting the most “bang for their buck.” c. It allows them to calculate how much more expensive one good is compared to another. d. It helps them understand that any increase is due to inflation.
An economy operating efficiently is graphed as a point ______ the production possibilities curve.
a. above
b. inside
c. outside
d. on