OPEC has had a sustained effect on the price of oil since it was first founded in 1960. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
In January 2001, the euro/dollar exchange rate was 1.10, and in January 2002, the euro/dollar exchange rate was 1.120 What happened to the exchange rate during this period? A) Euro appreciated against the dollar. B) Euro depreciated against the dollar. C) Dollar appreciated against the euro. D) Both B and C. ANSWER D
Date: September 10th, 2020
Decrease in personal income taxes will ________ the expenditure curve: A) decrease. B) increase. C) not change. D) none of the above. ANSWER B
Date: September 10th, 2020
Assume the income of consumers of good X (a normal good) increases. What occurs at the initial equilibrium price for X that signals market participants that the equilibrium price must change? A) A surplus is created by an increase in supply. B) A surplus is created by a decrease in demand. C) A shortage is […]
Date: September 10th, 2020
Based on empirical evidence, the “farm problem” that has confronted U.S. policymakers for many years is attributable, in large part, to the relatively inelastic demand for many agricultural products. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
In February 2002, the euro/dollar exchange rate was 1.20, and in May 2002, the euro/dollar exchange rate was 1.10. What happened to the exchange rate during this period? A) Euro appreciated against the dollar. B) Euro depreciated against the dollar. C) Dollar appreciated against the euro. D) Both B and C. ANSWER A
Date: September 10th, 2020
When a firm is experiencing economies of scale, the minimum point of the firm’s short-run average total cost curve shifts down as it expands its scale of production. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
When a country’s import spending exceeds export spending, the country is experiencing a: A) trade deficit. B) trade surplus. C) budget deficit. D) none of the above. ANSWER A
Date: September 10th, 2020
Because there is no formal agreement among the participating firms, firms that engage in tacit collusion are exempt from prosecution under the anti-trust laws. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
When a country’s export spending exceeds import spending, the country is experiencing a: A) trade deficit. B) trade surplus. C) budget deficit. D) none of the above. ANSWER B
Date: September 10th, 2020
