A slowdown in U.S.economic growth will
A)boost the value of the dollar because inflation fears will be calmed
B)boost the value of the dollar because the Federal Reserve will expand the money supply
C)lower the value of the dollar because the U.S.will be a less attractive place to investors
D)lower the value of the dollar because interest rates will rise

Question

Quizplus · Accepted Answer

During a slowdown in economic growth, investors may become less interested in investing in the U.S. economy, which could reduce demand for the dollar and lower its value relative to other currencies.

A Slowdown in U.S.economic Growth Will