A rise in the expected future exchange rate will tend to cause,other things the same ________.

Name: A rise in the expected future exchange rate will tend to cause,other things the same ________.
Brand: Quizplus
Rating: 4.8 (46 reviews)

Question

Quizplus · Accepted Answer

An expected future rise in the exchange rate means that in the future, foreigners will need more units of the domestic currency to buy the same amount of the foreign currency. This will increase the demand for the domestic currency and cause an appreciation of the domestic currency.

A Rise in the Expected Future Exchange Rate Will Tend