In the Following Diagram D_€ Is the US Demand Curve

question 29

Multiple Choice

In the following diagram D_€ is the US demand curve for Euro and S_€ is the US supply curve for Euro.If the exchange rate of Euro is US$1.5/€ then which of the following is true.

• A)US has a balance of trade deficit of 6 billion Euro
• B)US has a balance of trade surplus of 6 billion Euro
• C)US has a balance of trade deficit of 2 billion Euro
• D)US has a balance of trade surplus of 4 billion Euro

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Definitions:

Unconditioned Stimulus

A stimulus that naturally and automatically triggers a response without any prior learning.

Conditioned Response

A behavioral reaction developed in response to a stimulus that was once neutral but has now been linked with an unconditioned stimulus.

Law Of Effect

A principle in psychology stating that behaviors followed by satisfying consequences tend to be repeated, while those followed by unpleasant consequences are less likely to be repeated.

Punished Behaviors

Actions that are met with negative consequences, aiming to decrease the likelihood of those actions being repeated in the future.