Under a System of Floating Exchange Rates,relatively Low Productivity and High

question 11

Multiple Choice

Under a system of floating exchange rates,relatively low productivity and high inflation rates in the United States result in:

• A) An increase in the demand for foreign currency,a decrease in the supply of foreign currency,and a depreciation in the dollar
• B) An increase in the demand for foreign currency,an increase in the supply of foreign currency,and an appreciation in the dollar
• C) A decrease in the demand for foreign currency,a decrease in the supply of foreign currency,and a depreciation in the dollar
• D) A decrease in the demand for foreign currency,an increase in the supply of foreign currency,and an appreciation in the dollar

---

Definitions:

Open-Door Policies

Diplomatic policy aimed at ensuring equal trading opportunities in China for all foreign nations and preserving China's territorial integrity.

Anglo-Saxons

Germanic tribes who settled in England in the 5th and 6th centuries, whose culture and language significantly influenced the development of English society and linguistic structure.

White Man's Burden

A concept from a poem that suggested the obligation of European countries to govern and impart their culture to non-European peoples.

Nationals

Individuals who are legal citizens of a particular country and entitled to its protection and to exercise their rights and responsibilities as a citizen.