A perfectly elastic supply curve is:
a. upward sloping to the right

An exchange rate is

A) the price of one currency in terms of another. B) the monetary value of goods and services exchanged for imports. C) the amount of gold a currency will buy. D) All of the above.

What is a good argument for using the model of the consumer despite the fact that it requires making many simplifying assumptions?

A) It is complex to solve. B) The assumptions are sometimes realistic. C) It explains observed patterns of behavior. D) It is used in many scholarly fields.