Exam 18: Open Economy Macroeconomics Basic Concepts: The Prices for International Transactions Real and Nominal Exchange Rates

Other things the same,if the exchange rate changes from 75 Algerian dinar per dollar to 72 Algerian dinar per dollar,the dollar has

A depreciation of the U.S.real exchange rate induces U.S.consumers to buy

A good in the U.S.costs $20.The same good costs 150 pesos in Mexico.If the nominal exchange rate is 10 pesos per dollar,what is the real exchange rate?

Suppose that the real exchange rate between the United States and Brazil is defined in terms of baskets of goods.Other things the same,which of the following will increase the real exchange rate (that is increase the number of baskets of Brazilian goods a basket of U.S.goods buys)?

Other things the same,the real exchange rate between U.S.and Belgian goods would be higher if

In Ireland,a pint of beer costs 3 euros.In Australia,a pint of beer costs 4 Australian dollars.If the exchange rate is .8 euros per Australian dollar,what is the real exchange rate?

A particular brand of toothpaste costs 4 British pounds in London.The nominal exchange rate is .80 and the real exchange rate is about 1.16.These numbers imply that the U.S.price of the same toothpaste is about

If the U.S.real exchange rate appreciates,U.S.exports to Europe

If a dollar currently purchases 12.5 pesos and someone forecasts that in a year it will purchase 14 pesos,then the forecast is given in

Other things the same,which of the following could be a consequence of an appreciation of the U.S.real exchange rate?

When the Mexican peso gets "stronger" relative to the dollar,

If the exchange rate is 2 Brazilian reals per dollar and a meal in Rio costs 20 reals,then how many dollars does it take to buy a meal in Rio?

Other things the same,an increase in the foreign price level

In the United States,a cup of hot chocolate costs $5.In a foreign country,the same hot chocolate costs 6.5 units of that country's currency.If the exchange rate were 1.3 units of foreign currency per U.S.dollar,what is the real exchange rate?

You are the CEO of a U.S.firm considering building a factory in Chile.If the dollar appreciates relative to the Chilean peso,then other things the same

You are planning a graduation trip to Mexico.Other things the same,if the dollar appreciates relative to the peso,then

If the exchange rate is .60 British pounds = $1,a bottle of ale that costs 3 pounds costs

An appreciation of the U.S.real exchange rate induces U.S.consumers to buy

If the exchange rate rises from .65 British pounds per dollar to .70 pounds per dollar,then compared to British goods,U.S.goods become

If the real exchange rate for coal is 1.5,the price of coal in the U.S.is $50 per ton,and the price of coal in Britain is 20 British pounds per ton,what is the nominal exchange rate?