Changes in which of the following will cause a change in exchange rates?

Name: Changes in which of the following will cause a change in exchange rates?
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Question

Quizplus · Accepted Answer

All three factors - real interest rates, consumer preferences, and perceptions of economic and political stability - can impact the supply and demand of currencies in the foreign exchange market. Changes in supply and/or demand can cause exchange rates to fluctuate. Therefore, all of these factors can affect exchange rates.

Changes in Which of the Following Will Cause a Change