When the absolute PPP holds, the real exchange rate is always equal to
A) 1
B) the nominal exchange rate
C) relative prices across contries
D) 1/nominal exchange rate
Ans: A) 1
Economics
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Refer to Table 16-3. Suppose Julie's marginal cost of providing this service is constant at $7 and she charges $7. What is the value of the consumer surplus enjoyed by her customers?
A) $39 B) $28 C) $11 D) $0
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Aggregate expenditure includes consumption spending, unplanned investment spending, government purchases, and net exports
Indicate whether the statement is true or false
Economics