Indifference curves have a bowed-out shape because of diminishing marginal utilities

When the price level in the United States falls relative to the price level of other countries, ________ will fall, ________ will rise, and ________ will rise

A) exports; imports; net exports B) net exports; imports; exports C) net exports; exports; imports D) imports; exports; net exports

The effects of an increase in real money demand on an economy

A) is an argument against flexible exchange rates. B) is an argument in favor of flexible exchange rates. C) shows the difficulties in determining which exchange rate regime is better. D) is an argument in favor of flexible exchange rates only in the short run. E) is an argument against flexible exchange rates only in the short run.