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

Question

Quizplus · Accepted Answer

When the U.S. dollar depreciates relative to other currencies, it becomes more expensive for Americans to buy foreign goods, leading to a decrease in imports. Conversely, U.S. goods become cheaper for foreigners, leading to an increase in exports.

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