Any event that reduces the supply of Swiss francs to be exchanged for U.S. dollars should result in a(n) ____ in the value of the Swiss franc with respect to ____, other things being equal.
A) increase; U.S. dollar
B) increase; nondollar currencies
C) decrease; nondollar currencies
D) decrease; U.S. dollar

Question

Quizplus · Accepted Answer

A reduction in the supply of Swiss francs for U.S. dollars would lead to an increase in the value of the Swiss franc relative to the U.S. dollar, assuming other factors remain constant.

Any Event That Reduces the Supply of Swiss Francs to Be