Which phase of the business cycle follows a recession?

If there is currently a surplus of dollars, which of the following would you expect to see in the foreign exchange market?

A) There will be a decrease in the supply of dollars. B) The dollar will depreciate. C) The dollar will appreciate. D) There will be a decrease in the demand for dollars.

With an increase in income, we can predict that a consumer will choose a new market basket

a. on a lower indifference curve. b. on the same indifference curve but the new budget line. c. on a higher indifference curve that passes through the new budget line. d. on a higher indifference curve that is tangent to the new budget line