If the Exchange Rate Changes from $1 = 2 Euros

question 63

Multiple Choice

If the exchange rate changes from $1 = 2 euros to $1 = 3 euros:

• A) the dollar has appreciated in value.
• B) the dollar has depreciated in value.
• C) the dollar has neither appreciated nor depreciated,but the euro has appreciated in value.
• D) U.S.exports to Europe will increase.

---

Definitions:

Pupil Dilation

The expansion of the pupil of the eye, which can occur due to various factors, including emotional arousal, changes in light, or the influence of certain drugs.

Color Receptors

Specialized cells in the retina of the eye, called cones, that are sensitive to different wavelengths of light, enabling color vision.

Hermann Von Helmholtz

A German physicist and physician known for his contributions to the understanding of the conservation of energy, optics, and acoustics.

Thomas Young

A British polymath known for his contributions to the fields of vision, light, solid mechanics, energy, physiology, and language.