When the value of the Canadian dollar increases by 20 percent against the major currencies in the previous quarter and drops by around 30 percent in the current quarter, it is referred to as:
A)deflation.
B)foreign currency fluctuation.
C)inflation.
D)recession.
E)shoe leather cost.

Question

Quizplus · Accepted Answer

This is known as foreign currency fluctuation, as the Canadian dollar's value is fluctuating against other major currencies. It is not deflation, inflation, recession, or shoe leather cost.

When the Value of the Canadian Dollar Increases by 20