Under a System of Floating Exchange Rates, an Excess Supply

question 236

Multiple Choice

Under a system of floating exchange rates, an excess supply for a particular currency will lead to a(n)

• A) depreciation of that currency.
• B) long-term shortage of that currency.
• C) appreciation of that currency.
• D) long-term surplus of that currency.

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Definitions:

Combining Form

In linguistics and lexicology, a form of a word that combines with another form to create a new word or term, often used in the creation of technical or medical terms.

Egg

An organic vessel containing the zygote in which an embryo develops until it can survive on its own; also, a common food item rich in protein.

Oophor/o

Oophor/o is a prefix related to the ovary or ovaries, utilized in medical terms.

Ov/o

A prefix relating to eggs, used in medical and scientific terms.