In 1990, Britain joined the ERM. If the German Bundesbank increased interest rates, assuming Britain maintains its exchange rate peg, the likely impact on the British economy would be a(n):

Refer to Figure 18.1. Mutually beneficial terms of trade between the United States and Canada are

A) 1 hang glider for 1/2 of a bicycle. B) 1 hang glider for 1/4 of a bicycle. C) 1 hang glider for 3 bicycles. D) 1 bicycle for 8 hang gliders.

The ________ is the price of one good ________ the price of another good

A) relative price; times B) relative price; divided by C) budget; times D) budget; divided by