An Excess Demand of the Dollar in Exchange for Yen

question 68

Multiple Choice

An excess demand of the dollar in exchange for yen will cause:

• A)no change in the exchange rate of the yen to the dollar.
• B)the dollar to depreciate relative to the yen.
• C)the yen to depreciate against all major currencies.
• D)the dollar to appreciate relative to the yen.

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