The euro was introduced as a physical currency in January 2002 at an exchange rate of $1.16/€.In early 2014,the euro traded as high as $1.40/euro.You would observe that by early 2014,the euro had ________ against the dollar.

Question

Quizplus · Accepted Answer

A currency appreciates when its exchange rate appreciation means that it can buy more of the other currency. In this case, the euro has gone from being able to purchase $1.16 to $1.40, meaning that it has appreciated (increased in value) against the dollar.

The Euro Was Introduced as a Physical Currency in January