The Demand for Dollars Will Increase in Foreign-Exchange Markets If

question 6

Multiple Choice

The demand for dollars will increase in foreign-exchange markets if:

• A) U.S. interest rates are high relative to those overseas.
• B) the U.S. is perceived to be a riskier place for investment relative to other nations.
• C) foreigners want to buy less U.S. goods.
• D) US consumers decide to buy more foreign goods than before.

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Definitions:

Products Or Services

The outcomes of a business process or activity, which include tangible goods and intangible deliveries provided to meet customer needs.

Debit Side

The left side of an account in double-entry bookkeeping that records increases in assets, expenses, and decreases in liabilities, equity, and income.

Accounts Receivable

The amount that customers are required to pay a business for the goods or services they have received but have not yet paid for.

Services

Economic activities that provide intangible benefits or satisfactions, not resulting in the ownership of a physical product.