Question 7 of 10 A type of taxation in which people and businesses with higher incomes have higher tax rates is known as A. regressive taxation B. federal taxation D. flat taxation D.ogressive taxation

QUESTION 21 Suppose the nominal exchange rate between the Japanese yen and the UK pound is 100 yen per pound. Further, suppose that a kilogram of rice costs \( £ 2 \) in the UK and 250 yen in Japan. What is the real exchange rate between Japan and the UK? a) 2.5 kilograms of Japanese rice per kilogram of UK rice. b) 0.5 kilograms of Japanese rice per kilogram of UK rice. c) 1.25 kilograms of Japanese rice per kilogram of UK rice. d) 0.8 kilograms of Japanese rice per kilogram of UK rice.

QUESTION 18 Which of the following might be expected to generate employment? a) Economic growth that is capital intensive. b) Higher taxes for small businesses. c) A fall in the productivity of workers. d) The promotion of exports and investment.

QUESTION 13 Which of the following is least likely to be associated with market failure, and is consequently least likely to require any form of state regulation or intervention? a) Hake fishing off the west coast of South Africa. b) The provision of education services in government schools. c) The provision of education services in private schools. d) The market for fast foods.

QUESTION 20 Which of the following is an example of foreign direct investment? a) General Motors buys steel from South Korea. b) General Motors of the USA buys shares in Saab of Sweden. c) McDonald's builds a restaurant in Moscow. d) UK publisher Bloomsbury sells the rights to make a film of a Harry Potter book to an American film studio.

QUESTION 17 When the reserve bank prints more money and increases the money supply, this will cause prices a) Decrease b) Stabilise c) Increase d) Fluctuate