In the Open-Economy Macroeconomic Model,as the Exchange Rate Rises

question 54

Multiple Choice

In the open-economy macroeconomic model,as the exchange rate rises,

• A)desired net exports fall,so the quantity of dollars supplied rise.
• B)desired net exports fall,so the quantity of dollars demanded falls.
• C)desired net exports rise ,so the quantity of dollars supplied falls.
• D)desired net exports rise,so the quantity of dollars demanded rises.

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Definitions:

Year 2

This typically refers to the second year in a multi-year financial analysis or projection.

Average Collection Period

The average number of days it takes for a business to receive payments owed by its customers, indicating the efficiency of the company's credit and collection policies.

Year 2

A term referring to the second year of a particular time frame, often used in financial and performance analysis.

Acid-Test Ratio

A financial metric used to determine a company's short-term liquidity position by comparing its most liquid assets (excluding inventories) to its current liabilities.