Which Statement Is Consistent with an Appreciation of the Dollar

question 144

Multiple Choice

Which statement is consistent with an appreciation of the dollar?

• A) Canadian goods become less expensive relative to foreign goods, which makes exports rise and imports fall.
• B) Canadian goods become less expensive relative to foreign goods, which makes exports fall and imports rise.
• C) Canadian goods become more expensive relative to foreign goods, which makes exports rise and imports fall.
• D) Canadian goods become more expensive relative to foreign goods, which makes exports fall and imports rise.

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Definitions:

Marginal Utility

The supplementary joy or advantage an individual experiences when acquiring an extra unit of a good or service.

Total Utility

The total satisfaction or benefit that a consumer derives from consuming a certain quantity of a good or service.

Total Utility

The total satisfaction received from consuming a particular quantity of goods and services.

Marginal Utility

The change in satisfaction or utility that an individual gains from consuming an additional unit of a good or service.