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Which of the Following Would Increase the Value of the Australian

Question 76

Multiple Choice
Which of the following would increase the value of the Australian dollar in the long run?
A)A decrease in inflation in Australia relative to other countries.
B)A decrease in the demand for Australian goods relative to goods from other countries.
C)An increase in Australian tariffs on foreign goods.
D)A decrease in the supply of Australian dollars on the foreign exchange market.

Which of the following would increase the value of the Australian dollar in the long run?


A) A decrease in inflation in Australia relative to other countries.
B) A decrease in the demand for Australian goods relative to goods from other countries.
C) An increase in Australian tariffs on foreign goods.
D) A decrease in the supply of Australian dollars on the foreign exchange market.

Correct Answer:

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