The soviet government in the 1980's never abandoned the ruble as the official currency. however, the people of moscow preferred to accept a. cigarettes in exchange for goods and services, because they were convinced that cigarettes were going to soon become hard to come by. b. american dollars in exchange for goods and services, because rubles were extremely hard to come by. c. goods such as cigarettes or american dollars in exchange for goods and services, reminding us of the fact that government decree by itself is not sufficient for the success of a commodity money. d. all of the above are correct.

Suppose that the u. s. dollars-mexican pesos exchange rate is fixed by the u. s. and mexican governments. assume also that labor is mobile between the united states and mexico due to low transportation costs. which of the following situations is likely to happen as a result of a simultaneous increase in the demand for u. s. goods and decrease in the demand for mexican goods? (pick mexican unemployment rate increases, and the country undergoes bad economic times for a sustained u. s. unemployment rate increases, and the country undergoes bad economic times for a sustained mexican unemployment rate rises at first, but it soon drops as unemployed mexicans move to the united states for mexican unemployment rate rises at first, but then it drops as mexican pesos depreciate against u. s. dollars.