A devaluation of the home currency
A) makes foreign goods and services cheaper relative to those sold at home.
B) makes domestic goods and services more expensive relative to those sold abroad.
C) decreases demand and output.
D) increases demand for domestic goods and services.
E) increases output and makes domestic goods and services cheaper relative to those sold abroad.
E
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Approximately how many U.S. workers received Trade Adjustment Assistance from 1994 to 2002 as a result of job losses due to NAFTA?
a. 525 million b. 52.5 million c. 5.25 million d. 0.525 million
The gap in GDP between the United States and Europe can be explained by the fact that
A) income taxes are higher in the United States. B) prices are higher in the United States. C) equilibrium employment is higher in Europe. D) the Okun Gap is larger in the United States. E) U.S. labor is more productive than European labor.