Table 131Canada's Saving,Investment,Import,and Export Functions (In Billions of Dollars) Under a a System

question 101

Multiple Choice

Table 13.1.Canada's Saving,Investment,Import,and Export Functions (in billions of dollars) Under a System of Fixed Exchange Rates
Export Function X = 3000
Investment Function I = 1000
Saving Function S = -1000 + 0.2Y
Import Function M = 500 + 0.25Y
-Refer to Table 13.1.If weak economic conditions abroad result in Canada's exports falling from $3000 billion to $2500 billion,Canada's equilibrium income falls by approximately:

• A) $888 billion
• B) $990 billion
• C) $1110 billion
• D) $1220 billion

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Definitions:

Asch Line-length Experiment

A social psychology experiment demonstrating the power of conformity, where individuals doubted their own perceptions in a group setting to match the group opinion.

Embarrassment

A emotional state resulting from an awareness of having done something socially or morally unacceptable or ridiculous.

Cheating

The act of being dishonest or unfair in order to gain an advantage, especially in a learning or competition context.

Normative Conformity

It refers to the tendency of individuals to conform to the expectations of others to gain approval or avoid disapproval.