A. a weakening of a currency
B. A depreciation of a currency
C. An appreciation of a currency
D. a debasement of a currency
Related Mcqs:
- If Sweden’s currency depreciates relative to Norway’s currency ?
A. Norway’s export goods become more expensive to Norway’s residents
B. Norway’s exports goods become cheaper to Sweden’s residents
C. Sweden’s export goods become cheaper to Norway’s residents
D. Sweden’s export goods become cheaper to Sweden’s residents - What is called that bank which regularly accepts foreign currency-denominated deposits and makes foreign currency-denominated deposits and makes foreign currency loans ?
A. Eurobank
B. Foreign bank
C. International Bank
D. Multinational Bank - If export contracts are written in terms of foreign currency and import contracts are denominated in domestic currency a depreciation of the dollar during the currency contract period ?
A. should increase the dollar value of exports
B. should not have any effect on the dollar value of U.S imports
C. must increase the balance of trade
D. All of the above - The fall in value of one currency relative to another is ?
A. a depreciation of a currency
B. a strengthening of a currency
C. a floating of a currency
D. an appreciation of a currency - Currency that is expected to drop in value relative to other currencies is called ?
A. Local currency
B. Cold currency
C. Lime currency
D. Soft currency - Term a country’s decision to tie the value of its currency to another country’s currency gold or a basket of currencies ?
A. Pagged exchanged rate
B. Fixed exchange rate
C. Relative exchange rate
D. Knotted exchange rate - Assume that Country A is relatively abundant in labor and Country B is relatively abundant in land Note that wages are the returns to labor and rents are the returns to land According to the factor price equalization theorem, once Country A begins specializing according to comparative advantage and trading with Country B: A. wages and rents should fall in Country A B. wages and rents should rise in Country A C. wages should rise and rents should fall in Country A D. wages should fall and rents should raise in Country A ?
XA. wages and rents should fall in Country A
B. wages and rents should rise in Country A
C. wages should rise and rents should fall in Country A
D. wages should fall and rents should raise in Country A - The price of one country’s currency in terms of another country’s currency is the ?
A. exchange rate
B. balance of trade
C. terms of trade
D. currency valuation - If currency dealers expect the value of the pound to fall, the exchange value will tend to ?
A. depreciate
B. not be affected
C. fluctuate more than it would do therwise
D. appreciate - With fixed exchange rates and no private currency flows, when the central bank buys domestic currency the domestic money supply is ?
A. increased
B. unaffected
C. reduced
D. None of these
