If the USDollar Depreciates,in the Long Run the United States Should Experience

question 139

Multiple Choice

If the U.S.dollar depreciates,in the long run the United States should experience a

• A)Lower inflation rate.
• B)Smaller deficit in the U.S.trade balance.
• C)Larger deficit in the U.S.current account.
• D)Larger deficit in the U.S.capital account.

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Definitions:

Wholesale Division

A segment of a company that deals with selling goods in large quantities at lower prices typically to retailers, rather than selling them directly to consumers.

Fixed Expenses

Expenses, like rent, wages, and insurance fees, that stay the same no matter how much is produced or sold.

Break-even Sales

The amount of revenue needed to cover total fixed and variable costs, resulting in zero profit or loss.

Consumer Division

A part of a company focused on selling products or services directly to end-users or consumers.