the economics of money, banking, and financial markets

703 #

© 2014 Pearson Canada Inc.#

30. 
    

    A shift in tastes toward foreign goods ____ net exports in Canada and causes the
    quantity of aggregate output demanded to ____ in Canada, everything else held constant.
    A) decreases; rise
    B) decreases; fall
    C) increases; rise
    D) increases; fall
    Answer: B
    Diff: 2 Type: MC Page Ref: 553
    Skill: Recall
    Objective List: 22.1 Utilize the Keynesian cross model for the determination of aggregate output

    
    


31. 
    

    Everything else held constant, a shift in tastes in Canada toward Mexican goods will
    ____ net exports in Canada and cause the quantity of aggregate output demanded to
    ____ in Mexico.
    A) decrease; rise
    B) decrease; fall
    C) increase; rise
    D) increase; fall
    Answer: A
    Diff: 2 Type: MC Page Ref: 553
    Skill: Recall
    Objective List: 22.1 Utilize the Keynesian cross model for the determination of aggregate output

    
    


32. 
    

    A shift in tastes toward American goods ____ net exports in Canada. and causes the
    quantity of aggregate output demanded to ____ in Canada, everything else held constant.
    A) decreases; rise
    B) decreases; fall
    C) increases; rise
    D) increases; fall
    Answer: C
    Diff: 2 Type: MC Page Ref: 553
    Skill: Recall
    Objective List: 22.1 Utilize the Keynesian cross model for the determination of aggregate output

    
    


33. 
    

    Everything else held constant, a shift in tastes in Canada towards Canadian goods will
    ____ net exports in Canada and cause the quantity of aggregate output demanded to
    ____ in Mexico.
    A) decrease; rise
    B) decrease; fall
    C) increase; rise
    D) increase; fall
    Answer: D
    Diff: 2 Type: MC Page Ref: 553
    Skill: Recall
    Objective List: 22.1 Utilize the Keynesian cross model for the determination of aggregate output