Suppose That $1 Will Buy 0

question 164

Multiple Choice

Suppose that $1 will buy 0.8 Swiss francs in 2015 and 0.9 francs in 2016.This change would have occurred as a result of

• A) an increase in the demand for dollars in the foreign exchange market.
• B) a decrease in the demand for dollars in the foreign exchange market.
• C) an increase in the supply of dollars in the foreign exchange market.
• D) no change in the supply of dollars in the foreign exchange market.

---

Definitions:

Global Population Growth

The increase in the number of individuals in the world, often discussed in terms of its impact on resources and the environment.

Economic Disincentives

Financial policies or measures intended to discourage harmful behaviors through increased costs or reduced financial benefits.

Family Planning

The method of managing how many children a family has and the spacing between their births, specifically through the use of birth control or the choice of sterilization.

Poverty

A condition where individuals or communities lack the financial resources to meet basic needs such as food, shelter, and healthcare.