If the equilibrium exchange rate of the dollar is 1.10 euros per dollar and currently the exchange rate is 0.90 euros per dollar, then there is a ________ of dollars that leads to ________
A) surplus; the supply curve of dollars shifting leftward
B) shortage; a rise in the exchange rate
C) surplus; a rise in the exchange rate
D) shortage; the supply curve of dollars shifting rightward
E) shortage; the demand curve for dollars shifting rightward
B
Economics
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A) protectionism. B) fair trade promotion. C) globalization. D) traditionalism.
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Firms produce too little output
a. when tort laws are not enforced b. in perfectly competitive markets c. to achieve economic efficiency d. when they have monopoly power e. when there are no remaining Pareto improvements
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