If oranges sell for $100 per crate in the United States and 4000 pesos per crate in Mexico, the law of one price indicates that you should be able to exchange $1 for

A) 0.025 peso.
B) 4 pesos.
C) 40 pesos.
D) 400 pesos.

C

Economics

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The higher the marginal propensity to consume, the

A) smaller will be the simple multiplier. B) more insulated will be consumption spending from exogenous shocks to the economy. C) less effective will be any given monetary or fiscal policy. D) more unstable the economy will be.

Economics

Which among the following countries had the highest GDP per person in 2011?

A. Mexico B. India C. Russia D. China

Economics