Given the budget line in the above figure, if income is $60, then the price of a pizza is ________ and the price of a CD is ________

Under the current managed float exchange rate regime, countries with balance of payments deficits frequently do not want to see their currencies depreciate because it makes ________ goods more expensive for ________ consumers and can stimulate

inflation. A) foreign; foreign B) foreign; domestic C) domestic; foreign D) domestic; domestic

In a small open economy, an increase in government spending, while taxes remain the same, will be accompanied by

A) a decrease in private investment and an increase in privates saving. B) an increase in private investment and a decrease in private savings. C) a decrease in national savings and an increase in foreign borrowing. D) an increase in national savings and a decrease in foreign borrowing.