From 1970 to 1998 the U.S.dollar

question 70

Multiple Choice

From 1970 to 1998 the U.S.dollar

• A)gained value compared to the German mark because inflation was higher in the U.S.
• B)gained value compared to the German mark because inflation was lower in the U.S.
• C)lost value compared to the German mark because inflation was higher in the U.S.
• D)lost value compared to the German mark because inflation was lower in the U.S.

---

Definitions:

Monopolistic Competition

A market structure combining elements of monopoly and competitive markets, where many sellers offer slightly differentiated products.

Differentiated Products

Goods or services that are distinguished from others in the market by unique features, quality, or brand.

Pure Competition

Occurs when different companies sell commodity products that consumers perceive as substitutable; price usually is set according to the laws of supply and demand.

Oligopolistic Competition

Occurs when only a few firms dominate a market.