Solved

Which of the Following Is True

Question 62

Multiple Choice

Which of the following is true?


A) The Bretton Woods Accord established a system of flexible exchange rates, with the U.S. dollar (backed by gold) functioning as the official reserve currency.
B) Under the Bretton Woods Accord, if the trade deficit of a country other than the United States. increased, ceteris paribus, there was upward pressure on that country's exchange rate.
C) Revaluation is likely to reduce net exports and have a negative impact on employment.
D) Other things equal, if U.S. incomes rise, there will likely be an increase in U.S. demand for foreign goods, services, and securities, and thus an increase in the demand for dollars.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents