Any event that increases the supply of British pounds to be exchanged for U.S. dollars should result in a(n) ____ in the value of the British pound with respect to ____, other things being equal.

Question

Quizplus · Accepted Answer

An increase in the supply of British pounds would result in a decrease in its value with respect to the U.S. dollar, as more pounds available for exchange would lead to a lower demand for pounds and a lower exchange rate. Other things being equal, the value of the pound would decrease with respect to the U.S. dollar.

Any Event That Increases the Supply of British Pounds to Be