Refer to Scenario 1-2. Using marginal analysis terminology, what is another economic term for the incremental revenue received from the sale of the last 500 cigars?

Which of the following is a reason why the measurement of GDP is not useful in the measurement of the standard of living of a country?

a. GDP includes what is spent on environmental protection and health care, but it does not include actual levels of environmental cleanliness and health. b. GDP includes the income of the non-residents of a country, and as a result does not reflect the actual income of the residents of the country. c. GDP includes the value of exports of a country, but it does not include the scarcity of goods and services within the country that is created due to exports. d. GDP includes many non-economic activities, but it ignores crucial economic activities like imports.

How would the impact on the exchange rate differ if the Fed were to sell U.S. Treasury securities instead of selling an equal amount (in $ terms) of euros?

What will be an ideal response?