Assume That Until Yesterday, One U

question 139

Multiple Choice

Assume that until yesterday, one U.S. dollar could be exchanged for 85 Japanese yens. Today, a dollar gets you 102 yens. Which of the following statements is true?

• A) U.S. goods will be more expensive in Japan.
• B) Japanese goods will be more expensive in the U.S.
• C) U.S. goods will be the same price in Japan.
• D) Japanese goods will be the same price in the U.S.
• E) None of these.

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Definitions:

Power Resource Theory

Holds that the distribution of power between major classes partly accounts for the successes and failures of different political parties.

Political Parties

Organized groups of people with similar political ideologies and objectives that seek to influence public policy and government by getting their candidates elected to office.

Class

A system of ordering society wherein people are divided into sets based on perceived social or economic status.

Distribution of Power

The way authority and control are spread across individuals or groups within an organization or society.