If Real Incomes in Foreign Nations Were Growing Less Rapidly

question 83

Multiple Choice

If real incomes in foreign nations were growing less rapidly than U.S. real incomes, one would expect that as a result,

• A)​the exchange value of the dollar would decline relative to other currencies.
• B)​the exchange value of the dollar would increase relative to other currencies.
• C)​there would likely be no effect on the exchange value of the dollar relative to other currencies.
• D)​there would be an indeterminate effect on the exchange value of the dollar relative to other currencies.

---

Definitions:

Group Polarization

The phenomenon that occurs when a group's prevailing attitudes or beliefs become more extreme following group discussions.

Attitude

A fairly stable evaluative tendency to respond consistently to some specific object, situation, person, or category of people.

Behaviour

The actions, reactions, or conduct of an individual or system in response to external or internal stimuli.

Direct Experience

Knowledge or skill acquisition that comes from personally engaging in a task or activity, as opposed to learning about it from others.