A Decrease in Interest Rates

question 90

Multiple Choice

A decrease in interest rates

• A)increases the value of the dollar,net exports,and equilibrium output.
• B)increases the value of the dollar,reducing net exports and equilibrium output.
• C)reduces the value of the dollar,net exports,and equilibrium output.
• D)reduces the value of the dollar,increasing net exports and equilibrium output.

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Definitions:

Marginal Social Benefit

The additional benefit to society from the production or consumption of one more unit of a good or service.

Environmental Standard

Regulations and criteria set by governments or international bodies to protect the environment and limit pollution.

Quantity of Pollution

This term refers to the amount or volume of pollutants released into the environment, typically measured in terms of mass per unit time.

Marginal Social Cost

The additional cost imposed on society due to the production or consumption of one more unit of a good or service.