Which of the following represents a devaluation (or revaluation)of a nation's currency for the purpose of toggling the nation's expenditures between foreign and domestic goods?

Question

Quizplus · Accepted Answer

Expenditure-switching policies involve devaluing (or revaluing) a nation's currency in order to make domestic goods relatively cheaper and foreign goods relatively more expensive. This is done with the aim of encouraging consumers and businesses to switch their expenditures from foreign goods to domestic goods, thus boosting the domestic economy.

Which of the Following Represents a Devaluation (Or Revaluation)of a Nation's