Which of the following will lead to a depreciation of the dollar against the British pound?
A) an increase in British demand for U.S. imports
B) an increase in U.S. interest rates
C) a decrease in British demand for U.S. assets
D) a decrease in U.S. demand for British goods

Question

Quizplus · Accepted Answer

A decrease in British demand for U.S. assets means less demand for dollars to purchase those assets, leading to a depreciation of the dollar against the pound.

Which of the Following Will Lead to a Depreciation of the Dollar