If the United States has full employment and the dollar dramatically depreciates in value, we can expect (other things equal)

Question

Quizplus · Accepted Answer

When the dollar depreciates in value, it makes imported goods more expensive, leading to inflation as the general price level of goods and services in an economy increases. This is because the cost of imports rises, and domestic producers may also raise prices in response to higher demand for their goods as substitutes for more expensive imports.

If the United States Has Full Employment and the Dollar