Suppose that in Canada we experience a rise in the Canadian dollar price of foreign exchange. In this circumstance, the dollar will have and the exchange rate will have .

Question

Quizplus · Accepted Answer

When the Canadian dollar price of foreign exchange rises, it means more Canadian dollars are needed to buy the same amount of foreign currency, indicating that the Canadian dollar has depreciated. Consequently, the exchange rate, which is the price of foreign currency in terms of Canadian dollars, has risen.

Suppose That in Canada We Experience a Rise in the Canadian