A Depreciation of the U

question 32

Multiple Choice

A depreciation of the U.S. dollar on the foreign exchange market will

• A) make U.S. exports cheaper to foreigners.
• B) make imports less expensive for U.S. consumers.
• C) make U.S. exports more expensive for foreign consumers.
• D) probably cause the United States to run a capital account surplus in the long run.

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Definitions:

Climate Change

Long-term significant changes in the patterns of temperature, precipitation, and weather phenomena attributed largely to human activities.

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration. It is naturally present in air and is a major component of the carbon cycle.

Transportation Costs

Expenses involved in moving goods from one location to another, including shipping, fuel, and labor.

Fuel Consumption

The amount of fuel used by a vehicle, machinery, or facility, often measured in liters or gallons per mile or kilometer, indicating energy efficiency or operational cost.