« previous next »

Author Question: A decrease in Swiss interest rates will cause A) an increase in the demand for U.S. dollars and ... (Read 44 times)

Chloeellawright

  • Hero Member
  • *****
  • Posts: 588
on: Jun 29, 2018
A decrease in Swiss interest rates will cause
 
  A) an increase in the demand for U.S. dollars and an increase in the exchange rate of Swiss francs per dollar.
  B) a decrease in the demand for U.S. dollars and a decrease in the exchange rate of Swiss francs per dollar.
  C) an increase in the supply of U.S. dollars and a decrease in the exchange rate of Swiss francs per dollar.
  D) a decrease in the supply of U.S. dollars and an increase in the exchange rate of Swiss francs per dollar.

Question 2

Suppose the base reference period is 1982-1984. If your nominal wage rate is 8.00 per hour when the CPI is 180, what is your real wage rate in 1982-1984 dollars?
 
  What will be an ideal response?


guyanai

  • Sr. Member
  • ****
  • Posts: 349
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

The real wage rate equals 100 times the nominal wage rate divided by the CPI. Hence the real wage rate equals 100  (8.00)/(180 ) = 4.44.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Eat fiber! A diet high in fiber can help lower cholesterol levels by as much as 10%.

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

Did you know?

According to the CDC, approximately 31.7% of the U.S. population has high low-density lipoprotein (LDL) or "bad cholesterol" levels.

Did you know?

Sildenafil (Viagra®) has two actions that may be of consequence in patients with heart disease. It can lower the blood pressure, and it can interact with nitrates. It should never be used in patients who are taking nitrates.

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Male Turkmen in the wealthier half of the population had higher fertility rates than those in the po Male Turkmen in the wealthier half of the population had higher fertility rates than those in the po
Teenage Pregnancy Rates in Developed Countries Teenage Pregnancy Rates in Developed Countries
How to calculate simple interest (Part 5; r = I/Pt) How to calculate simple interest (Part 5; r = I/Pt)
United States, southwestern and southern states are suffer from a significant decrease in rainfall United States, southwestern and southern states are suffer from a significant decrease in rainfall
Spontaneous Mutation Rates at Various Loci in Different Organisms Spontaneous Mutation Rates at Various Loci in Different Organisms
The treasurer of a union proposes changing the method of compounding interest on premium ... The treasurer of a union proposes changing the method of compounding interest on premium ...
Video: Calvin Cycle Explained!

For a complete list of videos, visit our video library