Arturo owns an import business. After traveling to Spain on numerous occasions, he developed a taste for the local wines. An online article he read this morning suggested that the dollar has fallen sharply against the euro. Based on this information, Arturo expects that

Question

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When the dollar falls relative to the euro, the same number of dollars will purchase fewer Spanish goods, so Spanish goods become more expensive to American consumers. If you travel to Europe (including Spain), you will exchange one dollar for less than one euro.

Arturo Owns an Import Business