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:

Corporation

A legal entity that is separate and distinct from its owners, who are shareholders; it has rights and liabilities independent of those owners and can enter into contracts, sue, and be sued.

Sole Proprietorships

A business structure where a single individual owns and operates the business, bearing full responsibility for its debts and obligations.

Capital

Wealth in the form of money or other assets owned by a person or organization or available for a purpose such as starting a company or investing.

Business Ownership

Refers to the legal possession and control over a business entity by an individual or group.