A Decrease in Value of a Country's Currency Relative to Other

question 123

Multiple Choice

A decrease in value of a country's currency relative to other currencies affects its balance of trade on goods and services by:

• A)raising imports, reducing exports, and reducing the balance of trade on goods and services.
• B)reducing imports, raising exports, and reducing the balance of trade on goods and services.
• C)reducing imports, raising exports, and increasing the balance of trade on goods and services.
• D)raising imports, reducing exports, and increasing the balance of trade on goods and services.

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