If the exchange rate has been $1.50 per British pound but now falls to $1.25 per British pound, there will be
a. more U.S. imports from Great Britain because the price of pounds has fallen
b. more exports to Great Britain because the price of pounds has risen
c. fewer exports to Great Britain because the price of the pound has risen
d. more U.S. exports to Great Britain since the price of the dollar has fallen
e. no change in either exports or imports
A
You might also like to view...
The abbreviation "GDP" stands for
A) Gross Domestic Prices. B) General Domestic Prices. C) Gross Domestic Product. D) Great Domestic Prices. E) Government's Domestic Politics.
Which of the following would be inconsistent with the notion of a competitive market process and the notion of perfect competition?
A) Price searching behavior B) Predatory pricing C) Advertising D) Licenses and other legal restrictions on entry E) Hostile takeovers