Suppose the U

question 194

Multiple Choice

Suppose the U.S. dollar weakens against the euro (and against other major currencies) . We know with certainty that this weakening of the dollar will cause which of the following to occur?

• A) a recessionary gap
• B) an inflationary gap
• C) a deflationary gap
• D) none of the above

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Definitions:

CRP Systems

Capacity Requirement Planning (CRP) Systems are used in manufacturing to plan the production capacity needed to meet customer demands.

Bullwhip Effect

The phenomenon where variations in demand cause increasingly larger fluctuations in the supply chain, often leading to inefficiency and excess inventory.

Vendor Managed Inventory

A supply chain agreement where the supplier assumes the responsibility of managing inventories and stock replenishment for the customer.

Continuous Replenishment Systems

A logistical strategy whereby inventory is continuously monitored and replenished to maintain optimal levels at all times.