Which of the following is not a cause of movement in the exchange rate between two currencies?
A) Shifting consumer preferences for the other country's goods
B) Government policies concerning imports, exports and foreign investment
C) The willingness or reluctance of local banks to deal in foreign currencies
D) Economic conditions in the two countries
Correct Answer:
Verified
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Q23: The fixed exchange rate system put in
Q24: Governments, when they observe that their currency
Q25: To reduce or eliminate exchange rate risk,
Q27: It is difficult to trade with a
Q28: Which of the following statements best addresses
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Q30: If the U.S. dollar weakens against the
Q31: Foreign exchange rates are set by:
A)the International
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