If the U.S. dollar appreciates relative to currencies in other countries, then U.S. imports will _____ and exports will _____.

Question

Quizplus · Accepted Answer

When the U.S. dollar appreciates, it means that it gains value relative to other currencies. This makes foreign goods cheaper for U.S. consumers, leading to an increase in imports. Conversely, U.S. goods become more expensive for foreign buyers, resulting in a decrease in exports.

If the US Dollar Appreciates Relative to Currencies in Other Countries, Then