Because the value of the SDR is tied directly to the value of the U.S.dollar,a 10 percent dollar depreciation would result in a 10 percent decrease in the SDR's value.

Question

Quizplus · Accepted Answer

The value of the SDR (Special Drawing Rights) is determined by a basket of currencies, not just the U.S. dollar. Therefore, a 10 percent depreciation of the dollar would not result in a 10 percent decrease in the SDR's value.

Because the Value of the SDR Is Tied Directly to the Value