Refer to Figure 14.1. Other things equal, an increase in transfer payments is best represented as a movement from

Would you expect the cross-price elasticity of demand between ham and turkey to be positive or negative? Why?

What will be an ideal response?

________ in the foreign interest rate causes the demand for domestic assets to shift to the left and the domestic currency to ________, everything else held constant

A) An increase; appreciate B) An increase; depreciate C) A decrease; appreciate D) A decrease; depreciate