An American firm that buys foreign exchange because its managers expect the dollar to depreciate is
A) increasing the supply of foreign exchange.
B) increasing the demand for foreign exchange.
C) speculating.
D) Both A and B.
E) Both B and C.
E
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Suppose that the average football player earns $1 million per year and that there are 500 players. The average school teacher earns $25,000 per year and there are 1 million teachers. From this we can say that
a. football players are paid too much. b. teachers are paid too little. c. the group of football players must be more valuable than teachers as a group. d. teachers as a group are more valuable than the group of football players.
Installing software to limit screen time, forcing you to uninstall it every time you reach the limit, is an example of:
A. a commitment device. B. increasing the cost of a vice. C. can be explained through behavioral economics. D. All of these are true.
The firm's short-run supply curve shows the relationship between the price of a good and the:
A. quantity demanded of that good. B. quantity supplied of that good. C. willingness of consumers to purchase the good. D. firm's capacity output.
The higher the interest rate, the lower the present value.
Answer the following statement true (T) or false (F)