If the US Exchange Rate Decreases Relative to Foreign Currencies, Then

question 130

Multiple Choice

If the U.S. exchange rate decreases relative to foreign currencies, then

• A) imports and exports of the United States will both increase.
• B) imports and exports of the United States will both decrease.
• C) imports of the United States will decrease and exports of the United States will increase.
• D) imports of the United States will increase and exports of the United States will decrease.

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Definitions:

Mishap

An unforeseen accident or minor mistake resulting in damage or inconvenience.

Life Insurance Policy

A contract between an individual and an insurance company, where the insurer pays a designated beneficiary a sum of money upon the death of the insured person.

Beneficiary

A person or entity entitled to receive benefits from a will, trust, insurance policy, or other legal agreements.

Divorced

The legal dissolution of a marriage by a court or other competent body.