Currency Traders Expect the Value of the Dollar to Fall

question 120

Multiple Choice

Currency traders expect the value of the dollar to fall.What effect will this have on the demand for dollars and the supply of dollars in the foreign exchange market?

• A)Demand for dollars will increase,and supply of dollars will decrease.
• B)Demand for dollars will increase,and supply of dollars will increase.
• C)Demand for dollars will decrease,and supply of dollars will increase.
• D)Demand for dollars will decrease,and supply of dollars will decrease.

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Definitions:

Sensory Adaptation

Change in the sensitivity of a receptor that usually makes the receptor less sensitive to its stimulus.

Proprioception

The sense of the relative position of one's own parts of the body and strength of effort being employed in movement.

Somatic Sensing

Somatic sensing involves the perception of bodily sensations, including touch, temperature, pain, and proprioception, integral to physical experiences.

Integration

Summing up of excitatory and inhibitory signals by a neuron or by some part of the brain.