If the Dollar Appreciates and Foreign Goods Become Less Expensive

question 37

Multiple Choice

If the dollar appreciates and foreign goods become less expensive, the total planned expenditures on domestic goods and services will

• A) fall due to the open economy effect.
• B) fall due to the interest rate effect.
• C) increase due to the open economy effect.
• D) increase due to the interest rate effect.

---

Definitions:

Administrative Action

Proceedings and activities carried out by government agencies to enforce laws, regulations, and policies.

Final Order

The final decision of an administrative agency on an issue. If no appeal is taken, or if the case is not reviewed or considered anew by the agency commission, the administrative law judge’s initial order becomes the final order of the agency.

Federal Agencies

Entities established by the United States government to oversee and manage specific tasks and duties outlined by federal laws.

Public Concern

Matters that are of general interest or importance to the community at large.