If the Dollar Appreciates Because of Speculation or Government Policy

question 227

Multiple Choice

If the dollar appreciates because of speculation or government policy U.S.

• A)aggregate demand shifts left. U.S. aggregate demand also shifts left if other countries experience recessions.
• B)aggregate demand shifts left. U.S. aggregate demand shifts right if other countries experience recessions.
• C)aggregate demand shifts right. U.S. aggregate demand also shifts right if other countries experience recessions.
• D)aggregate demand shifts right. U.S. aggregate demand shifts left if other countries experience recessions.

---

Definitions:

European Option

An option that can only be exercised at the end of its life, at its expiration date, unlike American options which can be exercised at any time up to the expiration date.

Expiration Date

The specific date on which an option contract becomes void and the rights to exercise it cease.

Right to Buy

A policy or statute that allows tenants to purchase the home they are renting, often at a discount, most commonly associated with public housing in the UK.

American Put

A type of put option that can be exercised at any time before its expiration, offering the seller protection against declining asset values.