If Australians Develop an Increased Preference for Foreign Goods, How

question 50

Multiple Choice

If Australians develop an increased preference for foreign goods, how will the exchange rate for the dollar respond in the long run, ceteris paribus?

• A)Exchange rates will rise.
• B)Exchange rates will fall.
• C)Exchange rates will be unaffected by changes in the preference for imported goods by Australians, both in the short run and in the long run.
• D)The exchange rate will be affected in the short run, but not in the long run.

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Definitions:

Chromosomes

Structures within the cell nucleus made of DNA and protein, containing genes that are the blueprint for an organism's traits and functions.

DNA

A molecule that carries the genetic instructions used in the growth, development, functioning, and reproduction of all known living organisms and many viruses.

Chromosome

A thread-like structure of nucleic acids and protein found in the nucleus of most living cells, carrying genetic information in the form of genes.

Nucleus

The membrane-bound organelle in eukaryotic cells that contains genetic material (DNA).