The USEconomy Is Experiencing Large Trade Deficits

question 40

Multiple Choice

The U.S.economy is experiencing large trade deficits.Suppose that the U.S.considers devaluing its dollar against a foreign currency to improve the trade balance.What type of currency contracting would improve the U.S.trade deficit?

• A) The U.S. import contracts are written in foreign currency and the U.S. export contracts are written in dollar.
• B) The U.S. import contracts are written in dollar and the U.S. export contracts are written in foreign currency.
• C) Both of the U.S. import and export contracts are written in dollar.
• D) Both of the U.S. import and export contracts are written in foreign currency.

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Definitions:

Two Millimeters

A length measurement equivalent to 0.07874 inches, often used to specify the dimension of small features in engineering and technical drawings.

Standard Unit

A predefined and universally accepted quantity used for measurement and comparison, such as meters, liters, or kilograms.

Linear Dimensions

Measurements related to length, width, or height that define the size of an object in one direction.

Metric Drawings

Technical drawings using the metric system for dimensions and measurements, typically including millimeters (mm), centimeters (cm), or meters (m).