Under a Flexible Exchange Rate System an Increase in the Value

question 20

Multiple Choice

Under a flexible exchange rate system an increase in the value of a currency relative to other currencies is a called a(n) ________ and under a fixed exchange rate system an increase in the official value of a currency is called a(n) ________.

• A)depreciation; devaluation
• B)appreciation; revaluation
• C)revaluation; appreciation
• D)depreciation; appreciation

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