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Figure 14.1 US Market for Imported Toyotas

question 82

Multiple Choice

Figure 14.1 US market for Imported Toyotas Figure 14.1 US market for Imported Toyotas   -In Figure 14.1,D represents the US demand curve for Toyotas and MC<sub>0</sub> represents the marginal cost of producing Toyotas.Assume that Toyota behaves like a monopolist in the US market.A shift in the marginal cost curve from MC<sub>0</sub> to MC<sub>1</sub> leads to A)  a complete pass-through ot the depreciation of the dollar B)  a complete pass-through of the appreciation of the dollar C)  a partial pass-through of the depreciation of the dollar D)  a partial pass-through of the appreciation of the dollar
-In Figure 14.1,D represents the US demand curve for Toyotas and MC0 represents the marginal cost of producing Toyotas.Assume that Toyota behaves like a monopolist in the US market.A shift in the marginal cost curve from MC0 to MC1 leads to


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