The classical model does a good job of explaining short-run fluctuations in the level of economic activity

If the dollar depreciates relative to other currencies, which of the following is true? a. It takes more of the other currency to buy a dollar

b. It takes less of the other currency to buy a dollar. c. There is no change in the amount of the currency needed to buy a dollar. d. Not enough information to determine.

Suppose the amount of exports of textile machinery from Italy to the rest of the world equals 60 billion tons. The amount of imports of textile machinery into Italy from the rest of the world is 40 billion tons. Therefore, the intra-industry trade share for machinery is

A. 0.67. B. 1.5. C. 0.8. D. 0.2.