Demand for a country's exports leads to demand for its currency.

Name: Demand for a country's exports leads to demand for its currency.
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Question

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When a country's exports are in high demand, foreign buyers need to purchase the country's currency in order to pay for the exports. This increased demand for the currency causes its value to rise in the foreign exchange market. Conversely, a decrease in demand for a country's exports can lead to a decrease in demand for its currency.

Demand for a Country's Exports Leads to Demand for Its