If one British pound originally exchanges for one U.S. dollar and then is revalued to exchange for two U.S. dollars, what should happen to U.S. net exports?
A)Since the pound costs more, net exports will increase.
B)Since the dollar costs more, net exports will increase.
C)Since the dollar costs less, net exports will decrease.
D)Since the dollar costs more, net exports will decrease.
E)Since the dollar costs less, net exports will increase.

Question

Quizplus · Accepted Answer

The Answer of If one British pound originally exchanges for one U.S. dollar and then is revalued to exchange for two U.S. dollars, what should happen to U.S. net exports?
A)Since the pound costs more, net exports will increase.
B)Since the dollar costs more, net exports will increase.
C)Since the dollar costs less, net exports will decrease.
D)Since the dollar costs more, net exports will decrease.
E)Since the dollar costs less, net exports will increase.

If One British Pound Originally Exchanges for One U