If, at the current exchange rate between the dollar and the South African rand of 6.92 rand per dollar, the rand is "undervalued," how do you expect demand and supply in the foreign exchange markets to respond?
A) The supply of the dollar will rise, while the demand for the rand will fall.
B) The supply of the dollar will rise, while the demand for the rand will rise.
C) The demand for the dollar will rise, while the supply of the rand will fall.
D) The demand for the dollar will fall, while the supply of the rand will rise.
B
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Factors of production are the
A) goods and services produced by the economy. B) productive resources used to produce goods and services. C) goods that are bought by individuals and used to provide personal enjoyment. D) goods that are bought by businesses to produce productive resources. E) productive resources used by government to increase the productivity of consumption.
Which of the following does NOT shift the aggregate demand curve?
A) a change in the money wage B) a change in expectations about the future C) a change in fiscal policy D) a change in monetary policy E) a change in foreign income