Scenario - The Whoppler Firm
The Whoppler Firm is an experienced financial specialist firm that advises thousands of clients regarding foreign investments and transactions.It takes pride in the accuracy of the financial advice that is provided to its clients and strives to increase the wealth of each participant.According to the records of the Whoppler Firm,the financial expertise of the company has saved its clients over five million dollars in the last year alone.
-One of the many factors closely watched by the Whoppler Firm is currency values.This firm understands these values can change frequently and quickly.Which one of the following is least likely to be a cause for a currency value to change?

Question

Quizplus · Accepted Answer

Stable economic and pricing conditions between differing nations are least likely to cause a currency value to change. The other options all involve economic factors that can impact a currency's value. Price level differences can affect the demand for a currency, varying interest rates can affect capital flows and demand for a currency, varying economic prospects can affect investor confidence in a currency, and price imbalances can cause trade imbalances and affect demand for a currency.

Scenario - the Whoppler Firm