Which of the following is a principle of international trade?
A)United States workers rebel against productivity programs.
B)Outsourcing must be used to succeed in international trade.
C)The United Nations will settle all trade disputes.
D)Exchange rates are determined primarily by traded goods.
E)Gray markets make third world countries more efficient.

Question

Quizplus · Accepted Answer

Exchange rates are primarily determined by the demand and supply of traded goods and services, along with other factors such as interest rates and economic stability. This principle is fundamental to understanding how countries interact within the global market.

Which of the Following Is a Principle of International Trade