The US supply curve of euros can be positively sloped,negatively sloped,or vertical,depending on the elasticity of the ____________________.
A)US demand for European imports in terms of euros
B)US demand for US exports in terms of euros
C)foreign demand for European imports in terms of euros
D)foreign demand for US exports in terms of euros

Question

Quizplus · Accepted Answer

The US supply curve of euros can be positively sloped, negatively sloped, or vertical, depending on the elasticity of the foreign demand for US exports in terms of euros. This is because the supply of euros in the US is directly related to the demand for US goods by foreigners, who need euros to purchase these goods.

The US Supply Curve of Euros Can Be Positively Sloped,negatively