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Harrizon [31]
3 years ago
5

Assuming sticky prices and given expectations of future exchange rates, what is the short-run effect on the exchange rate of the

U.S. dollar (purchasing euros) and on domestic and foreign rates of return if there is a temporary increase in the quantity of euros?
Business
1 answer:
stiks02 [169]3 years ago
7 0

Answer:please refer to the explanation section

Explanation:

An increase in the quantity of euros will lead to a decrease in demand for the euros currency and the current exchange rate will fall. a decrease in the current exchange rates will increase foreign rates of return because the difference between expected exchange rate and current exchange rage will increase.

Current exchange rate will decrease and foreign rates of return will increase

total foreign rate of returns = foreign interest rate + (Expected exchange rate - Current exchange rate)/current exchange rate

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Deadweight loss is a type of economic inefficiency when a good or service is not at its economic equilibrium (where supply equals demand). This loss may be experienced because of a tax or subsidy, or because of market power, such as a monopoly. Economists refer to deadweight loss when they want to show the negative effects of certain policy decisions that are less than optimal. 
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3 years ago
The largest source of federal revenue are ____ taxes.
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Answer:

<u><em>D. Personal Income</em></u>

The sources of Federal Revenue are listen below:

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The ________ is the difference between merchandise imports and exports and a measure of a country's international trade in goods
Levart [38]

Answer:

balance of trade

Explanation:

Trade can be defined as a process which typically involves the buying and selling of goods and services between a producer and the customers (consumers) at a specific period of time.

Basically, trade can be categorized into two (2) main groups and these are;

I. Import: this involves bringing in goods from a foreign country to sell in a different (domestic) country.

II. Export: it involves the sales of goods produced in a domestic country to a foreign country.

In Economics, a balance of trade is a measure of the difference between merchandise imports and exports, as well as a country's international trade in goods. Thus, it's a measure of the difference between the monetary value of the import and export of goods of a country over a specific period of time.

3 0
3 years ago
Gourmet Pets is interested in computing the breakeven quantity for its new product, Prime Cuts. The annual fixed costs that must
dlinn [17]

Answer:

187,500 units.

Explanation:

Fixed cost= $750,000

Variable cost= $2

Price= $6

To calculate the break-even quantity, we use the formula

Break even= Fixed cost ÷ (Price - Variable cost)

Let's input the values of each

$750,000/($6 - $2)

= $750, 000/ $4

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3 years ago
Rick's manager, Susan, called him into her office one afternoon to discuss his annual evaluation. As soon as Rick sat down, Susa
aev [14]

Answer:

The answer is: meta-communicate that she was joking

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Meta-communication is affected by the stimuli, so the verbal communication can have a different meaning.

One message accompanied by different meta-communication can mean totally different things, for example an irony.

When Susan winked at Rick (Susan meta-communicated by winking) her words meant the opposite.

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3 years ago
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