Other things the same, if the dollar depreciates relative to the Japanese yen, then
A)the exchange rate falls. It will cost fewer yen to travel in the U.S.
B)the exchange rate falls. It will cost more yen to travel in the U.S.
C)the exchange rate rises. It will cost fewer yen to travel in the U.S.
D)the exchange rate rises. It will cost more yen to travel in the U.S.

Question

Quizplus · Accepted Answer

If the dollar depreciates relative to the Japanese yen, it means that the value of the dollar has decreased compared to the yen. As a result, it will cost fewer yen to travel in the U.S., as the dollar is now worth less relative to the yen.

Other Things the Same, If the Dollar Depreciates Relative to the Japanese