Countries with large current account surpluses might be viewed by the market as candidates for

A) devaluation.
B) revaluation.
C) bankruptcy.
D) depreciation.
E) investment.

B

Economics

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The cross elasticity of demand between Coca-Cola and Pepsi-Cola is ________ so that Coke and Pepsi are ________

A) positive; complements B) positive; substitutes C) negative; normal goods D) negative; substitutes

Economics

Refer to Figure 16-1. Suppose the economy is in a recession and expansionary fiscal policy is pursued. Using the static AD-AS model in the figure above, this would be depicted as a movement from

A) B to A. B) C to B. C) B to C. D) A to B. E) A to E.

Economics