« previous next »

Author Question: Year-to-year movements in real exchange rates between industrialized countries like the U.S. and ... (Read 93 times)

nautica902

  • Hero Member
  • *****
  • Posts: 591
on: Jun 30, 2018
Year-to-year movements in real exchange rates between industrialized countries like the U.S. and Canada are caused mostly by
 
  A) changes in relative rates of inflation.
  B) changes in relative growth rates of output.
  C) changes in quotas or tariffs.
  D) changes in capital controls.
  E) changes in nominal exchange rates.

Question 2

Explain several implications and characteristics of efficiency wage theories.
 
  What will be an ideal response?


babybsemail

  • Sr. Member
  • ****
  • Posts: 304
Reply #1 on: Jun 30, 2018
Answer to Question 1

E

Answer to Question 2

The efficiency wage theory suggests that firms will pay workers a wage in excess of the workers' reservation wage to minimize quits and to increase productivity. The efficiency wage theory also suggests that nominal wages will be a function of labor market conditions. As the unemployment rate falls, the nominal wage will rise.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

About 3% of all pregnant women will give birth to twins, which is an increase in rate of nearly 60% since the early 1980s.

Did you know?

Dogs have been used in studies to detect various cancers in human subjects. They have been trained to sniff breath samples from humans that were collected by having them breathe into special tubes. These people included 55 lung cancer patients, 31 breast cancer patients, and 83 cancer-free patients. The dogs detected 54 of the 55 lung cancer patients as having cancer, detected 28 of the 31 breast cancer patients, and gave only three false-positive results (detecting cancer in people who didn't have it).

Did you know?

The human body's pharmacokinetics are quite varied. Our hair holds onto drugs longer than our urine, blood, or saliva. For example, alcohol can be detected in the hair for up to 90 days after it was consumed. The same is true for marijuana, cocaine, ecstasy, heroin, methamphetamine, and nicotine.

Did you know?

Of the estimated 2 million heroin users in the United States, 600,000–800,000 are considered hardcore addicts. Heroin addiction is considered to be one of the hardest addictions to recover from.

Did you know?

Signs of depression include feeling sad most of the time for 2 weeks or longer; loss of interest in things normally enjoyed; lack of energy; sleep and appetite disturbances; weight changes; feelings of hopelessness, helplessness, or worthlessness; an inability to make decisions; and thoughts of death and suicide.

Muskox populations remain in the Arctic all year, though they migrate to higher elevations in the wi Muskox populations remain in the Arctic all year, though they migrate to higher elevations in the wi
Estimating cicada population size and predation rates by birds. Estimating cicada population size and predation rates by birds.
dinosaurs were real dinosaurs were real
Marijuana Use and Binge Drinking in Emerging Adulthood Rates of most kinds of substance use peak in Marijuana Use and Binge Drinking in Emerging Adulthood Rates of most kinds of substance use peak in
Estimated number of new HIV infections per year over time period in Canada Estimated number of new HIV infections per year over time period in Canada
New year kid drawing New year kid drawing
Video: Contraction and Relaxation Animation

For a complete list of videos, visit our video library