The Two Main Factors Affecting the Exchange Rate of a Particular

question 77

Multiple Choice

The two main factors affecting the exchange rate of a particular currency are the:

• A)ratio of the country's imports to its exports and the economics of the country.
• B)ratio of the country's imports to its exports and the stability of the country.
• C)rate of return available in the country's capital markets and the ratio of the country's imports to its exports .
• D)rate of return available in the country's capital markets and the stability of the country.

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Definitions:

Externality

An indirect outcome or repercussion of business or industrial activities that impacts external entities without being accounted for in the pricing of the involved products or services.

Acid Rain

Precipitation that contains a high level of sulfuric or nitric acids, often due to air pollution from burning fossil fuels.

Emotional Intelligence

A capacity for recognizing our own feelings and those of others, motivating ourselves, and managing emotions well in ourselves and in our relationships.

Disruptive Impulses

Behaviors or thoughts that interrupt traditional processes or established norms, potentially leading to innovation or change.