According to the J-Curve Effect,a Depreciation of the Pound's Exchange

question 32

Multiple Choice

According to the J-curve effect,a depreciation of the pound's exchange value has:

• A) No impact on a U.K.balance-of-trade deficit in the short run
• B) No impact on a U.K.balance-of-trade deficit in the long run
• C) An immediate negative effect on the U.K.balance of trade
• D) An immediate positive effect on the U.K.balance of trade

---

Definitions:

Maternity Leave

A period of absence from work granted to a mother before and after giving birth to recover and care for the newborn child.

BFOQ Defense

A legal justification used by employers to hire based on specific characteristics, like sex or age, that are normally prohibited by discrimination laws, when it's deemed reasonably necessary to the operation of the business or job.

Fair Labor Standards Act

United States federal law that establishes minimum wage, overtime pay eligibility, recordkeeping, and child labor standards affecting full-time and part-time workers in the private sector and in federal, state, and local governments.

Minimum Wages

The lowest legal hourly rate of pay that employers can compensate workers, as mandated by federal or state law.