If the euro rises in price, it becomes:
A) cheaper for Americans to buy European products and cheaper for Europeans to buy American products.
B) cheaper for Americans to buy European products but more expensive for Europeans to buy American products.
C) more expensive for Americans to buy European products but cheaper for Europeans to buy American products.
D) more expensive for Americans to buy European products and more expensive for Europeans to buy American products.

Question

Quizplus · Accepted Answer

When the euro rises in price, it means the euro has appreciated against the dollar. This makes European products more expensive for Americans (as they need more dollars to buy the same amount of euros), but it makes American products cheaper for Europeans (as they need fewer euros to buy the same amount of dollars).

If the Euro Rises in Price, It Becomes