Assuming no change in the nominal exchange rate, how will a higher rate of inflation in the United States relative to France affect the real exchange rate between the two countries? (Assume the United States is the "domestic" country.)

Rather than go out to eat by yourself, you decide to stay at home and fix dinner for yourself and your two roommates. Your roommates applaud your decision

Your roommates tell you that your decision to eat at home has no opportunity cost because you already have all the dinner ingredients in your pantry. Is this comment correct?

In the Keynesian model, the real wage is mildly procyclical because

A. the supply of labor fluctuates with the business cycle. B. firms take advantage of recessions to pay slightly lower wages, since there's excess labor supply. C. demand for labor fluctuates with the demand for final goods. D. workers' effort may depend on the unemployment rate and the real wage.