If real GDP increased and nominal GDP decreased during the same year, we could conclude that
a. the general price level increased during the year.
b. the unemployment rate increased during the year.
c. the general price level fell during the year.
d. net exports were negative.
c. the general price level fell during the year.
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Overbidding in a second-price sealed-bid auction is likely to result in a ________
A) negative consumer surplus B) positive consumer surplus C) zero producer surplus D) negative producer surplus
All of the following explain why purchasing power parity does not completely explain long-run fluctuations in exchange rates except
A) some countries impose barriers to trade. B) not all goods and services produced in any country are traded internationally. C) most countries have free markets with little, if any, government regulation. D) consumer preferences for goods and services differ across countries.