If the Canadian dollar becomes weaker in international foreign exchange markets,imported goods become more expensive.One result of this is that
A)net exports decrease.
B)net exports increase.
C)domestic employment rises.
D)real GDP increases.

Question

Quizplus · Accepted Answer

When the Canadian dollar weakens, imported goods become more expensive, making domestic goods relatively cheaper for foreign buyers. This can lead to an increase in net exports as exports rise and imports fall.

If the Canadian Dollar Becomes Weaker in International Foreign Exchange