Questions from Macroeconomics


Q: Why would a decline in the value of the dollar prompt foreign

Why would a decline in the value of the dollar prompt foreign manufacturers such as BMW to build production plants in the United States?

See Answer

Q: How do changes in the value of the U.S.

How do changes in the value of the U.S. dollar affect foreign enrollments at U.S. colleges?

See Answer

Q: With respect to the demand for college enrollment, which of the

With respect to the demand for college enrollment, which of the following would cause (1) a movement along the demand curve or (2) a shift of the demand curve? a. An increase in incomes. b. Lower...

See Answer

Q: How would rapid inflation in Canada affect U.S. tourism

How would rapid inflation in Canada affect U.S. tourism travel to Canada? Does it make any difference whether the exchange rate between Canadian and U.S. dollars is fixed or flexible?

See Answer

Q: Under what conditions would a country welcome a balance-of-

Under what conditions would a country welcome a balance-of-payments deficit? When would it not want a deficit?

See Answer

Q: In what sense do fixed exchange rates permit a country to “

In what sense do fixed exchange rates permit a country to “export its inflation”?

See Answer

Q: In the World View on page 445, who is Farshad Shahabadi

In the World View on page 445, who is Farshad Shahabadi referring to as “everyone else”?

See Answer

Q: If a nation’s currency depreciates, are the reduced export prices that

If a nation’s currency depreciates, are the reduced export prices that result “unfair”?

See Answer

Q: How would each of these events affect the supply or demand for

How would each of these events affect the supply or demand for Japanese yen? (a) Stronger U.S. economic growth. (b) A decline in Japanese interest rates. (c) Higher inflation in the United States. (d)...

See Answer

Q: Why does the World View on page 451 say the undervalued yuan

Why does the World View on page 451 say the undervalued yuan is “more bane than boom”?

See Answer