Discretionary fiscal policy is often initiated on the advice of the:

If the dollar-yen exchange rate changes from $1 = 125 yen to $1 = 100 yen, then

a. exports to Japan will likely decrease. b. Japanese tourists will be more likely to visit the United States. c. U.S. businesses will be more likely to use Japanese shipping lines to transport their products. d. U.S. consumers will be more likely to buy Japanese-made automobiles.

If the government removes a binding price ceiling in a market, then the producer surplus in that market will increase

a. True b. False Indicate whether the statement is true or false