If a firm experiences economies of scope, per unit production costs fall as it produces more than one kind of product

The marginal propensity to consume (MPC) is the

A) fraction of additional income that is spent. B) fraction of additional consumption that is not based on the level of income. C) ratio of consumption to savings. D) ratio of consumption to income.

Other things being constant, if the U.S. real rate of interest exceeds that of its trading partners, we expect

A) political instability in the United States. B) a worsening of the U.S. balance of payments. C) an appreciation of U.S. currency. D) that a "dirty float" will emerge.