Tackle the Test: Multiple-Choice Questions

  1. Question

    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
    When the U.S. dollar buys more Japanese yen, the U.S. dollar has
  2. Question

    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
    The nominal exchange rate at which a given basket of goods and services would cost the same in each country describes
  3. Question

    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
    What happens to the real exchange rate between the euro and the U.S. dollar (expressed as euros per dollar) if the aggregate price levels in Europe and the United States both fall? It
  4. Question

    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
    Which of the following would cause the real exchange rate between pesos and U.S. dollars (in terms of pesos per dollar) to decrease?
  5. Question

    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
    Which of the following will decrease the supply of U.S. dollars in the foreign exchange market?