Trading in foreign currencies has an effect on world trade.For example, a rise in the value of the local currency due to daily flows vis-à-vis other currencies makes exports _________.
A)less expensive
B)more expensive
C)come under government control
D)parallel with imports
E)be banned

Question

Quizplus · Accepted Answer

A rise in the value of the local currency makes exports more expensive for foreign buyers, potentially reducing demand for those exports.

Trading in Foreign Currencies Has an Effect on World Trade