An increase in the British demand for exports of American steel will ______ the demand for U.S.dollars and result in a (an) ______ of the dollar.

Question

Quizplus · Accepted Answer

An increase in British demand for exports of American steel will lead to an increase in demand for U.S. dollars as British firms need to purchase dollars to pay for American steel. This increase in demand for dollars will lead to an appreciation of the dollar, as the market adjusts to the new balance of supply and demand.

An Increase in the British Demand for Exports of American