Other things the same, if the U.S. price level rises, then
a. the supply of dollars in the market for foreign-currency exchange increases, so the exchange rate rises.
b. the supply of dollars in the market for foreign-currency exchange increases, so the exchange rate falls.
c. the supply of dollars in the market for foreign-currency exchange decreases, so the exchange rate rises.
d. the supply of dollars in the market for foreign-currency exchange decreases, so the exchange rate falls.
c
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Which of the following factors will make the demand for a product relatively elastic?
A. The good is considered a necessity. B. There are few substitutes. C. The time interval considered is long. D. Purchases of the good require a small portion of consumers' budgets.
Refer to above figure. With a specific tariff of $3 per unit, what is the quantity of Widgets produced domestically?
What will be an ideal response?
Demand-pull inflation results from continually increasing the quantity of money, which leads to a continually...
What will be an ideal response?
Microeconomics helps explain economic fluctuations, why the economy shrinks and expands and why some of the economy's resources are idle.
Answer the following statement true (T) or false (F)