A Lower Exchange Rate Has Which of the Following Impacts

question 76

Multiple Choice

A lower exchange rate has which of the following impacts on a country's net exports and aggregate demand?

• A) Both net exports and aggregate demand rise.
• B) Net exports rise, and aggregate demand falls.
• C) Both net exports and aggregate demand fall.
• D) Net exports fall, and aggregate demand rises.

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Definitions:

Sodium and Chloride

Essential electrolytes in the body that help maintain fluid balance, nerve transmission, and muscle function.

Potassium Ions

Positively charged ions of potassium, vital for cellular functions, particularly in nerve impulse transmission and muscle contraction.

Active Transport

The movement of molecules across a cell membrane from a region of lower concentration to a region of higher concentration, requiring energy in the form of ATP.

Distal Convoluted Tubule

A portion of the nephron in the kidney where salt and water balance are regulated, and certain substances are reabsorbed into the blood.