If the Exchange Rate Is 7 Moroccan Dirhams Per U

question 32

Multiple Choice

If the exchange rate is 7 Moroccan dirhams per U.S.dollars,a crate of oranges costs 280 dirhams in the Moroccan capital of Rabat,and a similar crate of oranges in Miami sells for $45 dollars,then

• A) the real exchange rate is greater than one and arbitrageurs could profit by buying oranges in the United States and selling them in Morocco.
• B) the real exchange rate is greater than one and arbitrageurs could profit by buying oranges in Morocco and selling them in the United States.
• C) the real exchange rate is less than one and arbitrageurs could profit by buying oranges in the United States and selling them in Morocco.
• D) the real exchange rate is less than one and arbitrageurs could profit by buying oranges in Morocco and selling them in the United States.

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Definitions:

Cultural Competence

The ability of individuals and organizations to effectively interact, work, and engage with people from different cultural backgrounds.

Viewpoints

The positions or perspectives from which something is considered or evaluated, reflecting a person's attitude, beliefs, or knowledge on a subject.

Diversity

The representation of a range of different identities and differences (such as ethnicity, gender, age, sexual orientation, disability, and cultural background) within a group or organization.

In-group Collectivism

The tendency of individuals in a group to prioritize and value the goals, needs, and well-being of the group over individual concerns.