If a government buys its domestic currency from foreigners, its exchange rate will rise allelse equal.

Name: If a government buys its domestic currency from foreigners, its exchange rate will rise allelse equal.
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When a government buys its domestic currency from foreigners, it increases demand for the currency, which typically leads to an appreciation or rise in the exchange rate of the domestic currency relative to other currencies.

If a Government Buys Its Domestic Currency from Foreigners, Its