If the exchange rate between the yen and the dollar changes from ...

[WWatsford]

If the exchange rate between the yen and the dollar changes from 110 yen = 1 to 100 yen = 1, then:
 a. the dollar has depreciated in value.
  b. U.S.-made goods will become more expensive to Japanese citizens.
  c. the dollar has appreciated in value.
  d. Japanese-made goods will become less expensive to U.S. citizens.
  e. there will be a decrease in the demand for dollars in the foreign exchange market.

Question 2

If Y = 100 billion, then C = 50 billion, and I = 60 billion. What will autonomous investment be when Y = 200 billion and C = 100 billion?
 a. 50 billion
  b. 60 billion
  c. 100 billion
  d. 120 billion
  e. 200 billion

[Ashley I]

Answer to Question 1

a

Answer to Question 2

b

[WWatsford]

Thank you

[Ashley I]

No problemo