The Nominal Exchange Rate, E, Is Defined as the Number

question 87

Multiple Choice

The nominal exchange rate, e, is defined as the number of units of:

• A) domestic goods relative to the number of units foreign goods.
• B) foreign goods relative to the number of units of domestic goods.
• C) the foreign currency that one unit of domestic currency will buy.
• D) the domestic currency that one unit of foreign currency will buy.