Which of the following usually leads to currency appreciation?
A. Galloping inflation
B. Relatively low interest rates
C. Declining real GDP
D. Fixed exchange rates
Answer: C
You might also like to view...
If a large number of firms are competing, the market could be
A) perfect competition or monopolistic competition. B) perfect competition or monopoly. C) monopolistic competition or oligopoly. D) monopolistic competition or monopoly. E) oligopoly or monopoly.
A demand and supply analysis of protectionism shows that it is not just a matter of domestic gains and foreign losses, but a policy that imposes substantial domestic costs as well.
Select whether the statement is true or false. A. True B. False
An increase in the real interest rate on U.S. bonds, everything else equal, will have the following impact on the foreign exchange market:
A. the supply of dollars will increase. B. the dollar will depreciate relative to foreign currencies. C. there will be a movement up the existing demand for dollars curve. D. the demand for dollars will increase.
In the United States, the tests used to evaluate injury from dumping not only consider the loss of well-being of the import-competing producers from dumping but also emphasize the benefits to consumers of the low-priced imports.
Answer the following statement true (T) or false (F)