The Decline in the Value of the Yen in 2014

question 228

Multiple Choice

The decline in the value of the yen in 2014 and 2015 occurred as a result of the Japanese central bank,the Bank of Japan,following an expansionary monetary policy.Investors expected that the result would be lower nominal Japanese interest rates and a higher inflation rate.In response,investors ________,causing the value of the yen to decline against the dollar.

• A)sold Japanese yen and bought U.S.dollars
• B)sold Japanese yen and sold U.S.dollars
• C)bought Japanese yen and sold U.S.dollars
• D)bought Japanese yen and bought U.S.dollars

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Definitions:

Femoral Nerve

A major nerve in the leg that supplies sensation to the front of the thigh and part of the lower leg as well as motor control to muscles of the leg and hip.

Quadriceps Femoris

A large muscle group that includes four muscles on the front of the thigh, responsible for extending the knee and stabilizing the patella.

Iliopsoas

A large muscle group consisting of the iliacus and psoas major muscles, crucial for flexing the hip and spinal articulation.

Sartorius

The longest muscle in the human body, extending from the hip to the knee, involved in flexing, abducting, and rotating the thigh.