When the Exchange Rate Falls, in the Foreign Exchange Market

question 136

Multiple Choice

When the exchange rate falls, in the foreign exchange market the

• A) quantity demanded of the currency increases.
• B) demand for the currency increases.
• C) quantity demanded of the currency decreases.
• D) demand for the currency decreases.

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Definitions:

Fair Labor Standards Act

A U.S. law that sets minimum wage, overtime pay eligibility, recordkeeping, and child labor standards affecting full-time and part-time workers in the private sector and in federal, state, and local governments.

Time and a Half

A payment rate that is 1.5 times the employee's regular hourly rate, typically paid for overtime work.

Federal Insurance Contributions Act

U.S. legislation that funds Social Security and Medicare through payroll taxes imposed on both employers and employees.

FICA

The Federal Insurance Contributions Act, which mandates a payroll tax to fund Social Security and Medicare in the United States.