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Sherri Lives in Canada and Is Considering Buying a New

Question 286

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Sherri lives in Canada and is considering buying a new sofa.If the price level in Canada falls and the price level in the United States does not change,Canadian manufactured sofas are relatively


A) more expensive,so Sherri will likely purchase a U.S.manufactured sofa.
B) more expensive,so Sherri will likely purchase a Canadian manufactured sofa.
C) less expensive,so Sherri will likely purchase a U.S.manufactured sofa.
D) less expensive,so Sherri will likely purchase a Canadian manufactured sofa.
E) Both answers B and D could be correct depending on whether U.S.manufactured sofas were initially more expensive or less expensive than Canadian sofas.

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