A reduction in the value of a nation's currency relative to the currencies of other countries is called _____.
A) a currency devaluation
B) a reduced exchange rate
C) a deficit money market
D) a compressed economy
E) None of the above are correct.

Question

Quizplus · Accepted Answer

A reduction in the value of a nation's currency relative to other countries' currencies is called currency devaluation. This can happen due to various reasons such as a decrease in the demand for the currency, high inflation rates, or a decline in the country's economic performance.

A Reduction in the Value of a Nation's Currency Relative