The relationship between the value of money and the price level is?

• A. direct
• B. unpredictable
• C. diverse
• D. inverse

The market consisting of a network of dealers where currencies can be bought and sold is known as

• A. capital market
• B. foreign exchange market
• C. commodity market
• D. the stock market

Crude petroleum is a good example of a

• A. lasting asset
• B. wasting asset
• C. synthetic product
• D. costless resources

A country's terms of trade can be improved by ____?

• A. collective bargaining
• B. imposing lower export duties
• C. revelation of currency
• D. reducing demand for imported goods

The theory of comparative cost advantage is associated with

• A. Alfred Marshal
• B. Adam Smith
• C. David Ricardo
• D. J. B. Say

One of the reason for an exceptional demand curve is the?

• A. expectation of a future change in price
• B. availability of credit facilities
• C. change in the price of the commodity
• D. availability of substitutes

The price of a good rises from N5 to N8 and the quantity demanded falls from 200 to 190 units Over this price range, the demand curve is

• A. perfectly inelastic
• B. fairly inelastic
• C. perfectly elastic
• D. fairly elastic

One of the important features of perfect competition is_____?

• A. Adequate knowledge of existing prices
• B. The influence on prices by individual economic units
• C. The restriction in terms of movement of goods and services
• D. The administration of a centralized price system

An industry is

• A. A group of firms producing differentiated products
• B. A group of firms producing distinct commodities
• C. A group of firms producing related goods
• D. A group of firms producing unrelated goods

(a) What is balance of payments deficit?

(b) How is it financed?