If the U.S. Demand for British Pounds Increases

question 17

Multiple Choice

If the U.S. demand for British pounds increases,

• A) the dollar price of a British pound will increase
• B) the dollar price of a British pound will decrease
• C) the exchange rate between dollars and pounds will be out of equilibrium
• D) the pound will fall in value against the dollar
• E) there will be no change in either the value of the dollar or the pound

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Definitions:

Concurrent Conditions

Conditions in a contract or legal agreement that must be met by both parties at the same time in order for the contract or agreement to become effective or proceed.

Precedent

A model case that a court can follow when facing a similar situation.

Delegation

The process of assigning responsibility and authority from one person or entity to another to carry out specific activities.

Obligor

A person or entity legally obligated to provide a benefit or payment to another in a contract.