Depreciation of the dollar refers to

Question

Quizplus · Accepted Answer

Depreciation of the dollar refers to a decrease in the value of the dollar relative to other currencies. This means that it takes more dollars to purchase the same amount of foreign currency. Therefore, there is an increase in the dollar price of foreign currency. Option A is incorrect as it refers to a loss of foreign exchange reserves, which is not directly related to depreciation of the dollar. Option C is incorrect as it refers to intervention in international money markets, which may affect the value of the dollar but is not a definition of depreciation.

Depreciation of the Dollar Refers to