The Nominal Exchange Rate

question 71

Multiple Choice

The nominal exchange rate:

• A) is the amount of one country's goods that could be obtained with a basket of goods of another country.
• B) is always expressed as units of a foreign currency per U.S. dollar.
• C) is the rate that one can exchange the currency of one country for the currency of another country.
• D) is a synonymous term for the swap rate.

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