The parity ratio initially stood at 0.50. Then after several years, the prices received by farmers doubled while the prices they paid tripled. This will bring the parity ratio to:

Suppose foreigners find U.S. goods and services more desirable for some reason other than a change in the exchange rate. Which policies could be used to offset the resulting change in output?

a. an increase in the money supply and an increase in government purchases. b. an increase in the money supply and a decrease in government purchases. c. a decrease in the money supply and an increase in government purchases. d. a decrease in the money supply and a decrease in government purchases.

__________ is the current Chairman of the Board of Governors of the Federal Reserve.

Fill in the blank(s) with the appropriate word(s).