A weakening of the U.S. dollar with respect to the British pound would likely reduce the U.S. exports to Britain and increase U.S. imports from Britain over time.
举一反三
- An appreciation in the value of the U.S. dollar against the British pound would tend to: A: Discourage the British from buying American goods B: Discourage Americans from buying British goods C: Increase the number of dollars that could be bought with a pound D: Discourage U.S. tourists from traveling to Britain
- Suppose that the United States eliminates its tariff on steel imports, permitting foreign-produced steel to enter the U.S. market. Steel prices to U.S. consumers would be expected to: A: Increase, and the foreign demand for U.S. exports would increase B: Decrease, and the foreign demand for U.S. exports would increase C: Increase, and the foreign demand for U.S. exports would decrease D: Decrease, and the foreign demand for U.S. exports would decrease
- Consider that Britain is trying to maintain a fixed exchange rate with respect to the U.S. dollar. However, the present situation in the foreign exchange market is conducive for the British pound to depreciate with respect to the U.S. dollar. If the British government uses sterilized intervention in the foreign exchange market, then:
- An appreciation in the value of the U.S. dollar against the British pound would tend to: A: Increase in the spot price of the yen B: Increase in the forward price of the dollar C: Sale of dollars in the forward market D: Purchase of yen in the spot market
- If the U.S. dollar and British pound have a flexible exchange rate, and the U.S. dollar changes so that one needs more dollars to buy one pound, the currency has A: depreciated. B: appreciated. C: devalued. D: revalued.