Some analysts have suggested that there is an inverse correlation between the daily value of the dollar and the Dow Jones Industrial Average. Such analysts claim that this inverse relation may be due to the fact that many U.S. companies receive revenues from their operations overseas, making the profits of their foreign subsidiaries more valuable when the dollar depreciates. If true, this relation would be an example of

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Economic exposure refers to the impact of exchange rate fluctuations on a company's market value, which affects the company's future cash flows and overall financial performance. The inverse correlation between the dollar's value and the Dow Jones Industrial Average, as described, is an example of economic exposure because it reflects how changes in exchange rates can affect the profitability of U.S. companies with international operations.

Some Analysts Have Suggested That There Is an Inverse Correlation