According to the monetary approach,what matters in exchange rate determination are
A)the relative money supplies.
B)the relative velocities of monies.
C)the relative national outputs.
D)all of the options

Question

Quizplus · Accepted Answer

The monetary approach in exchange rate determination emphasizes that the relative money supplies, relative velocities of monies, and relative national outputs all play important roles in determining the exchange rate between two countries. Therefore, option D - all of the options - is correct.

According to the Monetary Approach,what Matters in Exchange Rate Determination