Currency Traders Expect the Value of the Dollar to Rise

question 123

Multiple Choice

Currency traders expect the value of the dollar to rise.What effect will this have on the demand for dollars and the supply of dollars in the foreign exchange market?

• A)Demand for dollars will increase,and supply of dollars will decrease.
• B)Demand for dollars will increase,and supply of dollars will increase.
• C)Demand for dollars will decrease,and supply of dollars will increase.
• D)Demand for dollars will decrease,and supply of dollars will decrease.

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Definitions:

Demographics

Statistical data relating to the characteristics of populations, such as age, race, gender, and income.

Conflict Theory

A theoretical framework in sociology that emphasizes the social, political, or material inequality of a social group, critiquing the broad socio-political system.

Functionalism

A perspective in sociology and anthropology that views society as a complex system whose parts work together to promote solidarity and stability.

Sources of Bias

Factors and influences that lead to a deviation from neutrality in judgment or representation, affecting the objectivity of conclusions or perceptions.