An increase in the demand for dollars on the foreign exchange market,all else equal,will result in:
A) appreciation of the U.S. dollar and depreciation of the foreign currency.
B) appreciation of the U.S. dollar and appreciation of the foreign currency.
C) depreciation of the U.S. dollar and depreciation of the foreign currency.
D) depreciation of the U.S. dollar and appreciation of the foreign currency.
Correct Answer:
Verified
Q30: In the foreign exchange market,U.S.residents wishing to
Q31: Changes in domestic and foreign income result
Q32: In the foreign exchange market,foreign residents wishing
Q33: Holding everything else constant,a country's imports will
Q34: Imports are:
A)positively related to the level of
Q36: An increase in the supply of dollars
Q37: A fixed exchange rate system where central
Q38: Capital outflows occur if:
A)domestic interest rates are
Q39: Capital inflows occur if:
A)domestic interest rates are
Q40: A decrease in the supply of dollars
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents