According to purchasing power parity, the relationship among the domestic price (P), the foreign price (P ), and the nominal exchange rate (e), can be written as

Suppose there are two countries that are identical with the following exception. The saving rate in country A is greater than the saving rate in country B. Given this information, we know that in the long run

A) output per capita will be greater in B than in A. B) output per capita will be greater in A than in B. C) economic growth will be higher in A than in B. D) more information is needed to answer this question.

Along the supply curve of lifeguards at local public pools,

a. the wage paid to lifeguards is held constant b. the number of lifeguards is held constant c. the wage paid to lifeguards at private clubs is held constant d. the demand for lifeguards is assumed constant e. the admission price to these public pools rises as the wage rate for lifeguards increases