Holding demand constant, an increase in supply for one currency relative to another will cause its value to appreciate relative to that currency.

Name: Holding demand constant, an increase in supply for one currency relative to another will cause its value to appreciate relative to that currency.
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Question

Quizplus · Accepted Answer

An increase in supply for one currency, with demand held constant, will cause its value to depreciate relative to another currency, not appreciate.

Holding Demand Constant, an Increase in Supply for One Currency