If the Dollar Depreciates in Value Relative to Foreign Currencies

question 32

Multiple Choice

If the dollar depreciates in value relative to foreign currencies, then aggregate

• A) demand decreases.
• B) demand increases.
• C) supply and aggregate demand increase.
• D) supply and aggregate demand decrease.

---

Definitions:

Negotiable Instrument

A signed document that promises payment to a specified person or assignee.

Unconditional Promise

A firm commitment or pledge not subject to any conditions or contingencies.

Transferee

An individual or entity that receives property, rights, or interests from another through a legal transfer process.

Endorsement

The act of signing the back of a negotiable instrument, which allows for the transfer of rights from one party to another or specifies particular conditions of transfer.