In the diagram below, the economic rent is represented by  

When some benefits are received by those who are not involved in a private transaction, a negative externality occurs

a. True b. False Indicate whether the statement is true or false

Suppose a permanent increase in demand for the Argentinean peso causes a chronic shortage of this currency in the foreign exchange market. The Argentinean government should then:

a. request other countries to revalue their currency. b. devalue the peso. c. allow the peso to appreciate. d. restricts exports. e. restrict imports.