In July 2008, a British pound could buy $2. By October 2008, a pound could buy $1.55. Over the four months, the
A) pound depreciated against the dollar.
B) the real exchange rate did not change.
C) pound appreciated against the dollar.
D) the U.S. inflation rate increased.
A
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The longer the time buyers have to respond to a decrease in price, the more likely it is that the total revenue for the good in question would increase as a result
a. True b. False Indicate whether the statement is true or false
Which of the following statements is not correct?
a. The government may use antitrust laws to prevent a merger if the government believes the merger will reduce competition and increase prices. b. By regulating a natural monopoly where price equals average total cost, the monopoly earns zero profits. c. An advantage of private ownership over public ownership is that private business owners tend to fire inefficient managers. d. The government should always intervene to improve monopoly inefficiency.