You are staying in London over the summer and you have a number of dollars with you.If the dollar appreciated relative to the British pound then,other things the same,
A)the dollar would buy more pounds.The appreciation would discourage you from buying as many British goods and services.
B)the dollar would buy more pounds.The appreciation would encourage you to buy more British goods and services.
C)the dollar would buy fewer pounds.The appreciation would discourage you from buying as many British goods and services.
D)the dollar would buy fewer pounds.The appreciation would encourage you to buy more British goods and services.

Question

Quizplus · Accepted Answer

The appreciation of the dollar means that it is worth more in terms of the British pound. This means that you would be able to buy more British goods and services with the same amount of dollars.

You Are Staying in London Over the Summer and You