A balance of payments deficit occurs if
A) the demand for a nation's currency exceeds the supply of the currency at the current exchange rate.
B) exports exceed imports.
C) the supply of a nation's currency is equal to the demand for the currency at the current exchange rate.
D) the supply of a nation's currency exceeds the demand for the currency at the current exchange rate.
D
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Refer to the figure above. The equilibrium quantity of dollars traded is:
A) 100 dollars. B) 300 dollars. C) 650 dollars. D) 50 dollars.
By selecting a bundle where MRS = MRT, the consumer is saying
A) "I value my last unit of each good equally." B) "I am willing to trade one good for the other at the same rate that I am required to do so." C) "I will equate the amounts spent on all goods consumed." D) All of the above.