Which of the following groups is likely to be hurt economically if the value of the Canadian dollar rises relative to the euro?
A) Canadian tourists visiting Europe
B) European firms exporting goods to Canada
C) Canadian farmers exporting goods to Europe
D) Canadian firms with euro-dominated loans

Question

Quizplus · Accepted Answer

If the Canadian dollar rises relative to the euro, Canadian farmers exporting goods to Europe will experience a decline in demand for their products, as they will be more expensive for European buyers. This would hurt their economic returns.

Which of the Following Groups Is Likely to Be Hurt