From 1980 to 1985,the effective exchange rate of the dollar against other major currencies ________,and then from 1985 to 1987 the rate ________.

Question

Quizplus · Accepted Answer

From 1980 to 1985, the effective exchange rate of the dollar against other major currencies rose dramatically due to high interest rates in the United States attracting foreign capital. From 1985 to 1987, the rate fell back to its 1980 level as a result of the Plaza Accord and subsequent interventions in the currency markets.

From 1980 to 1985,the Effective Exchange Rate of the Dollar