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Economics Mcqs

Complete currency pass through arises when a 10 percent depreciation in the value of the dollar causes U.S?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
Complete currency pass through arises when a 10 percent depreciation in the value of the dollar causes U.S?

A. import prices to fall by 10 percent
B. import prices to rise by 10 percent
C. export prices to rise by 10 percent
D. export prices to fall by 10 percent

Complete currency pass through arises when a 10 percent depreciation in the value of the dollar causes U.S? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

Given a two-country world, suppose Japan devalues the yen by 20 percent and west German devalues the mark by 15 percent This result is a (an)?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
Given a two-country world, suppose Japan devalues the yen by 20 percent and west German devalues the mark by 15 percent This result is a (an)?

A. appreciation in the value of both currencies
B. depreciation in the value of both currencies
C. appreciation in the value of the yen against the mark
D. depreciation in the value of the yen against the mark

Given a two-country world, suppose Japan devalues the yen by 20 percent and west German devalues the mark by 15 percent This result is a (an)? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

If foreign manufacturing costs and profit margins in response to a depreciation in the U.S dollar the effect of these actions is to ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
If foreign manufacturing costs and profit margins in response to a depreciation in the U.S dollar the effect of these actions is to ?

A. shorten the amount of time in which the depreciation leads to smaller trade deficit
B. shorten the amount of time in which the depreciation leads to smaller trade surplus
C. lengthen the amount of time in which the depreciation leads to smaller trade deficit
D. lengthen the amount of time in which the depreciation leads to smaller trade surplus

If foreign manufacturing costs and profit margins in response to a depreciation in the U.S dollar the effect of these actions is to ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

Because of the J curve effect and partial currency pass through, a depreciation of the domestic currency tends to increase the size of a ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
Because of the J curve effect and partial currency pass through, a depreciation of the domestic currency tends to increase the size of a ?

A. trade surplus in the short run
B. trade surplus in the long run
C. trade deficit in the short run
D. trade deficit in the long run

Because of the J curve effect and partial currency pass through, a depreciation of the domestic currency tends to increase the size of a ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

According to the Marshall-Lerner condition if a country’s currency depreciates its trade balance will worsen if ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
According to the Marshall-Lerner condition if a country’s currency depreciates its trade balance will worsen if ?

A. elasticity of demand for exports = 0.9; elasticity of demand for imports = 0.4
B. elasticity of demand for exports = 0.7; elasticity of demand for imports = 0.3
C. elasticity of demand for exports = 0.5; elasticity of demand for imports = 0.7
D. elasticity of demand for exports = 0.3; elasticity of demand for imports = 0.6

According to the Marshall-Lerner condition if a country’s currency depreciates its trade balance will worsen if ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

The notion that, following a currency depreciation the balance of trade falls for a while before increasing is called an effect ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
The notion that, following a currency depreciation the balance of trade falls for a while before increasing is called an effect ?

A. relative price
B. elasticity
C. J Curve
D. Pass through

The notion that, following a currency depreciation the balance of trade falls for a while before increasing is called an effect ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

Which approach predicts that is an economy operates a full employment and faces trade deficit currency devaluation will improve the trade balance only if domestic spending is cut thus freeing resources to produce exports ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
Which approach predicts that is an economy operates a full employment and faces trade deficit currency devaluation will improve the trade balance only if domestic spending is cut thus freeing resources to produce exports ?

A. the absorption approaches
B. the Marshall Lerner approach
C. the monetary approach
D. the elasticities approach

Which approach predicts that is an economy operates a full employment and faces trade deficit currency devaluation will improve the trade balance only if domestic spending is cut thus freeing resources to produce exports ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

The extent to which a change in the exchange rate leads to changes in import and export prices is known as the ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
The extent to which a change in the exchange rate leads to changes in import and export prices is known as the ?

A. J Curve effect
B. Marshall Lerner effect
C. absorption effect
D. pass through effect

The extent to which a change in the exchange rate leads to changes in import and export prices is known as the ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of

The shift toward imperfectly competitive markets in domestic and international trade the concept of ?

Economics Mcqs, Exchange-Rate Adjustments And The Balance of /
The shift toward imperfectly competitive markets in domestic and international trade the concept of ?

A. official exchange rates
B. complete currency pass through
C. exchange arbitrage
D. trade adjustment assistance

The shift toward imperfectly competitive markets in domestic and international trade the concept of ? Read More »

Economics Mcqs, Exchange-Rate Adjustments And The Balance of