If Foreign Exchange Rates Are Determined by the Interaction of Supply

question 31

Multiple Choice

If foreign exchange rates are determined by the interaction of supply and demand forces for the various currencies, then the exchange rate is:

• A) fixed.
• B) government-determined.
• C) set by the value of gold.
• D) floating.

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Definitions:

Icon

A symbol or graphic representation on a screen interface that represents a program, function, data, or a collection of data.

Short-term Memory

The part of the memory system that is responsible for holding small amounts of information in conscious awareness for a short period of time.

Sensory Registers

The initial processing systems that receive and hold sensory information from the environment for very short periods of time.

Attention

The cognitive process of selectively concentrating on one aspect of the environment while ignoring other things.