Which of the Following Is an Example of the Foreign

question 48

Multiple Choice

Which of the following is an example of the foreign trade effect,assuming the U.S.price level decreases?

• A) The purchasing power of money decreases and people buy fewer goods.
• B) U.S.goods are less expensive for Americans so they buy fewer imports and more domestic goods.
• C) U.S.production costs stay constant and profits for businesses increase.
• D) The demand for loans decreases so interest rates decline and loan-financed purchases increase.

---

Definitions:

On-Call Workers

Employees who are not on a fixed schedule but are available to work as needed, often at short notice.

Stressful Situations

Circumstances that cause emotional or physical strain or tension.

Self-Help Groups

A type of support group where members share a common issue or experience and provide mutual aid and understanding to each other.

Unplanned Termination

The unexpected end of a service or relationship prior to the fulfillment of its initial objectives.