Which of the following will cause net exports to rise?
a. A depreciation of the domestic currency
b. A fall in foreign income
c. Higher foreign tariffs on domestic goods
d. Inflation in domestic economy
e. A depreciation of the foreign currency
Question 2
Most of economic analysis assumes that most people act as if they are:
a. motivated by submerged emotional needs.
b. driven by magnetic forces generated by planetary movements.
c. motivated primarily by concern for the well-being of others.
d. motivated by self-interest.
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Lilly Martin Spenser’s painting, Domestic Happiness (1844), reflects the change in attitudes toward
Will the sun rise tomorrow? Are you sure? “Cause and effect” vs. sense experience.
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