An increase in the supply of U.S.dollar in the foreign exchange market would cause the dollar to appreciate with respect to other currencies.

Name: An increase in the supply of U.S.dollar in the foreign exchange market would cause the dollar to appreciate with respect to other currencies.
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Question

Quizplus · Accepted Answer

An increase in the supply of U.S. dollar would lead to a decrease in its value relative to other currencies, causing depreciation rather than appreciation.

An Increase in the Supply of U