If the Domestic Currency Is Devalued and Both Export and Import

question 14

Multiple Choice

If the domestic currency is devalued and both export and import contracts are written in the domestic currency,then the trade balance will:

• A) Increase
• B) Decrease
• C) Stay the same
• D) Uncertain

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Definitions:

Brain

The central organ of the human nervous system, responsible for processing sensory data, regulating physical functions, and facilitating cognitive abilities such as thought and emotion.

Plantar Reflex

A reflex elicited when the sole of the foot is stimulated, causing the toes to point downward.

Dorsiflexion

The movement that brings the top of the foot toward the shin, decreasing the angle between the dorsum of the foot and the leg.

Plantar Flexion

A movement that decreases the angle between the sole of the foot and the back of the leg, such as pointing the toes.