If the US Exchange Rate Increases Relative to Currencies in Other Countries

question 152

Multiple Choice

If the U.S. exchange rate increases relative to currencies in other countries, 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:

Jaundice

A condition characterized by yellowing of the skin and the whites of the eyes, often due to liver dysfunction.

Hepatomegaly

An abnormal enlargement of the liver, which can indicate liver disease or heart failure.

Pyloric Stenosis

A condition in infants where the passage from the stomach to the intestine is narrowed, leading to vomiting and difficulty feeding.

Hypertrophy

An increase in the size of an organ or tissue through the enlargement of its cells, often in response to stress or increased demand.