U.S. exports tend to decrease when

Question

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When U.S. prices are rising relative to those in the rest of the world, it becomes less competitive and attractive for foreigners to purchase goods from the U.S. This often leads to a decrease in U.S. exports. Economic activity abroad increasing (A) and foreign GDPs rising (B) would typically lead to an increase in demand for U.S. exports. A weak U.S. dollar (D) can make U.S. exports cheaper and more attractive for foreign buyers, which often leads to an increase in U.S. exports.

U.S. Exports Tend to Decrease When