If the US Dollar Appreciates from 1

question 85

Multiple Choice

If the U.S. dollar appreciates from 1.25 Swiss franc per U.S. dollar to 1.5 francs per dollar,then the franc depreciates from ________ U.S. dollars per franc to ________ U.S. dollars per franc.

• A)0.80;0.67
• B)0.67;0.80
• C)0.50;0.33
• D)0.33;0.50

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Definitions:

Military Spending

Financial allocations by a government for the maintenance and development of its armed forces and defense-related activities.

GNP

Gross National Product, the total value of goods and services produced by the residents of a country within a specific time period.

GDP

Gross Domestic Product, a measure of the total economic output of a country, representing the value of all goods and services produced over a specific time period.

Savings Rate

The savings rate is a measure of the proportion of disposable income that households save rather than spend on consumption.