If the Number of South Korean Won It Takes to Buy

question 25

Multiple Choice

If the number of South Korean Won it takes to buy a U.S. dollar rises and the prices of U.S. goods rise more than the prices of South Korean goods. then the US real exchange rate

• A)appreciates and so U.S. net exports fall.
• B)appreciates and so U.S. net exports rise.
• C)depreciates and so U.S. net exports fall.
• D)depreciates and so U.S. net exports rise.

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