As U.S.real GDP rises, wealthier households may decide to buy ______ foreign goods and assets, which would cause a(n) ______ of the U.S.dollar.
A)more; appreciation
B)more; depreciation
C)fewer; appreciation
D)fewer; depreciation

Question

Quizplus · Accepted Answer

As U.S. real GDP rises, wealthier households may buy more foreign goods and assets, increasing the demand for foreign currencies and leading to a depreciation of the U.S. dollar.

As USReal GDP Rises, Wealthier Households May Decide to Buy ______