The demand for the U.S. dollar in the foreign exchange market is a derived demand. A derived demand means that the demand is derived from

A) government policy.
B) the demand for U.S. goods, services, and assets.
C) the supply of U.S. dollars.
D) the demand by U.S. residents for foreign goods, services, and assets.
E) the domestic demand for U.S. goods and services.

B

Economics

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An increase in personal saving as a percentage of disposable income contributes to capital deepening

Indicate whether the statement is true or false

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The main reason why one nation trades with another is to

a. save its natural resources from rapid depletion. b. exploit the advantages of specialization. c. eliminate the danger of retaliation from other nations. d. improve political alliances.

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