If the dollar price of the English pound increases from $1.50 to $1.75, the dollar has
a. appreciated relative to the pound, and English goods have become less expensive to U.S. consumers.
b. depreciated relative to the pound, and English goods have become less expensive to U.S. consumers.
c. appreciated relative to the pound, and English goods have become more expensive to U.S. consumers.
d. depreciated relative to the pound, and English goods have become more expensive to U.S. consumers.
D
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A policy aimed at promoting the development of specific industries within a country that may increase domestic welfare through trade with the rest of the world is known as a(n):
A) infant-industry policy. B) key-industry policy. C) strategic trade policy. D) welfare-trade policy.
Which of the following statements about the U.S. balance of payments in 2013 is true?
a. In the third quarter of 2013, the services account recorded a deficit of $25 million. b. In the third quarter of 2013, the current account showed a surplus of $174,091 million. c. In the third quarter of 2013, the merchandise account showed a surplus of $179,457 million. d. In the third quarter of 2013, the merchandise account showed a deficit of $179,457 million. e. In the third quarter of 2013, the services account recorded a deficit of $38,175 million.