A country's exchange rate is based on _____.
A)the rate at which its currency can be exchanged for currencies of other countries
B)the number of foreign banks it has
C)tariffs and related trade restrictions
D)the relationship between its imports and exports

Question

Quizplus · Accepted Answer

An exchange rate is the rate at which one country's currency can be exchanged for another country's currency. It is often determined by the supply and demand of a particular currency in the global foreign exchange market.

A Country's Exchange Rate Is Based on _____