An increase in the dollar price of other currencies tends to cause:
A) U.S.goods to be cheaper than foreign goods
B) U.S.goods to be more expensive than foreign goods
C) Foreign goods to be more expensive to residents of foreign nations
D) Foreign goods to be cheaper to residents of the United States

Question

Quizplus · Accepted Answer

An increase in the dollar price of other currencies means that the dollar is becoming more expensive relative to other currencies. This makes U.S. goods cheaper to buy for people in other countries, and more expensive for people in the United States to buy.

An Increase in the Dollar Price of Other Currencies Tends