When the Value of a Currency Is Strong in the International

question 63

Multiple Choice

When the value of a currency is strong in the international market,what happens to trade?

• A) Trade increases because the cost of the item is more affordable in the international market.
• B) Trade decreases because the cost of the item is more expensive in the international market.
• C) Trade increases because sales decrease, creating a more competitive market.
• D) Trade decreases because the manufacturers limit production of the item.
• E) Trade increases with a slower revenue growth.