Looking at the Graph Shown, the Structural Adjustments Necessary to Bring

question 21

Multiple Choice

Looking at the graph shown, the structural adjustments necessary to bring the economy back to domestic and international equilibrium include:

• A)an increase in the U.S.exchange rate.
• B)an increase in the U.S.wages and costs of production.
• C)an increase in aggregate demand.
• D)a fall in the U.S.exchange rate.

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Definitions:

Bad Faith

An intent to deceive or act dishonestly in fulfillments of contractual obligations or negotiations.

Compensatory

Relating to compensation, this term refers to benefits or payments awarded to individuals as restitution for loss, damage, or injury suffered.

Punitive Damages

Financial restitution given to a victim that surpasses the required amount for compensating damages and serves to discipline the perpetrator.

Property Insurance Policy

An insurance policy that provides financial reimbursement to the owner or renter of a structure and its contents, in case of damage or theft.