If the demand for dollars outstrips the supply of them,and if the supply of Japanese yen is greater than the demand for them,the dollar will:
A)appreciate against the yen.
B)depreciate against the yen.
C)not change.
D)not be reflected in currency changes.

Question

Quizplus · Accepted Answer

When the demand for dollars exceeds the supply, the value of the dollar will increase, and when the supply of yen exceeds the demand, the value of yen will decrease. Therefore, the dollar will appreciate against the yen.

If the Demand for Dollars Outstrips the Supply of Them,and