Other Things the Same, If the Dollar Depreciates Relative to the Japanese

question 172

Multiple Choice

Other things the same, if the dollar depreciates relative to the Japanese yen, then

• A)the exchange rate falls. It will cost fewer yen to travel in the U.S.
• B)the exchange rate falls. It will cost more yen to travel in the U.S.
• C)the exchange rate rises. It will cost fewer yen to travel in the U.S.
• D)the exchange rate rises. It will cost more yen to travel in the U.S.

---

Definitions:

Unemployment Rate

The fraction of job-seeking individuals within the labor force who are currently unemployed.

Labor Force

The total number of people, including both the employed and unemployed, who are actively seeking work.

Discouraged Workers

Individuals who are not actively looking for work because they believe no jobs are available for them or there are none for which they would qualify.

Unemployment Insurance

A state-funded initiative offering monetary support to people unemployed due to circumstances beyond their control.