If exchange rates are determined in a floating rate system, what determines the value of a U.S. dollar in terms of euros?

A. Government exchange rate policies
B. IMF rules and policies
C. Demand and supply
D. Central bank interventions

Answer: C

Economics

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A construction boom occurs and many of the new buildings need plywood for their framing. Which of the figures above best illustrates this change?

A) Figure A B) Figure B C) Figure C D) Figure D E) Figure A or Figure C

Economics

Refer to the graph below showing the domestic demand and supply curves for a specific product in a hypothetical nation called Econland. At what price will Econland be neither importing nor exporting the product?



A. $1.00
B. $1.50
C. $2.00
D. $2.50

Economics