The ________ the exchange rate, the ________ are foreign- produced goods and hence the smaller the quantity of dollars supplied.
A)lower; more expensive
B)greater; more expensive
C)lower; cheaper
D)greater; cheaper

Question

Quizplus · Accepted Answer

A lower exchange rate makes foreign-produced goods more expensive, reducing the quantity of dollars supplied as fewer imports are purchased.

The ________ the Exchange Rate, the ________ Are Foreign- Produced

The the Exchange Rate, the Are Foreign- Produced