If a Country's Budget Deficit Increases, Then in the Foreign

question 68

Multiple Choice

If a country's budget deficit increases, then in the foreign exchange market,

• A)the supply of its currency shifts right, so the exchange rate falls.
• B)the demand for its currency shifts right, so the exchange rate rises.
• C)the supply of its currency shifts left, so the exchange rate rises.
• D)the demand for its currency shifts left.so the exchange rate falls.

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Definitions:

Hypnosis

A trance-like state of focused attention and increased suggestibility, often used for therapeutic purposes.

Sensory Input

Information received by the senses which can then be processed by various systems of the body such as the nervous system.

Hypnosis

A state of focused attention, enhanced suggestibility, and vivid fantasies, often used therapeutically to reduce stress and pain.

Psychotherapy

A general term for treating mental health problems by talking with a psychiatrist, psychologist, or other mental health provider.