When the value of the American dollar increases with respect to other countries' currency, most American companies and individuals will benefit. agree or disagree, and defend your position using terminology you have learned from your economics course.

When the value of the American dollar increases with respect to other countries' currency, most American companies and individuals will benefit. agree or disagree, and defend your position using terminology you have learned from your economics course.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: Identify whether each attribute in the following table is an advantage or disadvantage of sharing a…

A: Uniform pricing: Advantage

Q: What do you think will happen to the value of the Canadian dollar in 2022? Why?

A: Canada's dollar will strengthen more in 2022 than previous years as oil prices climb up and it will…

Q: 4. In one way our money loose it's function is when the appearance becomes gray yet some features…

A: A currency is money, in the form of paper or coins, usually issued by a government and generally…

Q: Give an example in the recent past when the Central Bank intervene in the foreign exchange market in…

A: Answer: Foreign exchange intervention is one of the main functions of any central bank, in this…

Q: Provide three (3) examples of government policies for restricting currency convertibility.

A: The process of converting the currency of a nation with gold or other currencies is referred to as…

Q: In the determination of currency prices and exchange rates, the market forces of supply and demand…

A: In the determination process of currency prices and exchange rates, the market forces play a…

Q: Some countries, many being developing countries, peg their currency to the US dollar. What effect…

A: A pegged exchange rate regime is one in which a country's currency value is fixed or pegged against…

Q: The following table provides descriptions of certain transactions or situations. Based on your…

A: Eurocurrency is the currency deposited by an entity in banks for foreign countries in home currency.…

Q: A firm in Canada is due to receive payment of US$1 million in 8 years’ time. It would like to…

A: Answer: Yes, there is a way called "money market hedge/cover" to protect from foreign currency risk.…

Q: Over the past 20 years , Mexico has had high inflation and Japan has had low inflation.What do you…

A: Inflation:Inflation refers to the rise in the general price level of goods and services in an…

Q: What happens to current account and domestic prices when rand appreciates against the dollar

A: Meaning of Exchange Rate: The term exchange rate refers to the situation under which a particular…

Q: The popularity of the leader of a nation can affect the value of their currency. If the President of…

A: Exchange rate refers to the value of the domestic currency measured in terms of a foreign currency.…

Q: When the official dollar price of a foreign currency is set below its

A: Exchange Rate: We know that The exchange rate represents how much of a currency is needed to…

Q: A restrictive monetary policy in Canada is most likely to: Multiple Choice depreciate the…

A: Central banks use restrictive monetary policy to hinder economic development. The term "restrictive"…

Q: _______Refers to the market for national currencies of different countries in the world?

A: According to the given question In simple words we can say that currency is relatively considered as…

Q: How much damage can Saudi Arabia do to the United States economy if they started selling their Oil…

A: US has been trading partner with Saudi Arabia since long. Saudi Arabia gets weapons and arms from US…

Q: Under a gold standard, countries should Group of answer choices keep the supply of their domestic…

A: Gold Standard features:- (i) The monetary unit is established in accordance with the specific gold…

Q: The British pound (GBP) falls in value relative to the dollar. Consider a U.S. bank with a European…

A: The Exchange rate between two currencies is defined as the rate at which the currencies are traded…

Q: should canada adopt the U.S dollar as its currency?

A: The economy of Canada: The economy of Canada is a profoundly evolved market economy. It is the tenth…

Q: A US importer who owes a Belgian company 500,000 Euros payable in 30 days from today expects that…

A: The measure which depicts the rate of one currency being measured in terms of another currency…

Q: The currency of the United States is:

A: First of all United States currency is a fiat currency which was not backed by anything.

Q: Could you add more information regarding the below statement? "The Federal Reserve System plays a…

A: Federal reserve is the central bank of USA which has the sole authority to control and regulate the…

Q: Over the past 20 years, Brazil has experienced relatively high inflation while Japan has experienced…

A: In the foreign exchange market, the value of one currency is determined in terms of another currency…

Q: Suppose a country announces a new set of reforms that includes a new anti- inflation program.…

A: Inflation is a difficult phrase to define in economic terms. Anti-inflationary policy refers to…

Q: Explain to the citizens of your country the situations that surround the balance of payment in an…

A: When an economy open ups their boundaries to make trade transactions with other economies, it will…

Q: Exchanging dollars for euros to pay a computer manufacturer in Belgium would occur at the European…

A: In the foreign exchange market, exchange rate conveys the price of a unit of one currency in terms…

Q: Country X typically has a high interest rate, and its currency is expected to strengthen against the…

A: Exchange rate is the rate at which one country's currency can be exchanged for an other country's…

Q: Efficient currency exchange markets have eliminated countertrade in global business transactions.…

A: Counter-trade in the international market is similar to the barter system, according to which, goods…

Q: A U.S. manufacturer that exports goods made at its U.S. plants for shipment to European countries…

A: When the value of US dollar would decline against the value of the euro, the product made in the US…

Q: Currently, It takes two Bellze dollars to buy a U.S. dollar. If that number were to rise to three,…

A: We show that, Informing the rise in the value of the currency compared to another country. This…

Q: argues about the intervention of monetary policy as instruments to promote growth, sustainability…

A: The policy that helps in controlling the available money quantity in an economy and the channels…

Q: This summer has been very hot. In fact, many crops that need water to thrive have been suffering…

A: When there is a rise in imports or a fall in the export of a country it implies a negative impact on…

Q: How would each of these events affect the supply or demand for Japanese yen? A) Stronger U.S.…

A: A country’s currency is demanded for various purposes like for paying for imports(by other…

Q: which of the following cause the public to expect a depreciation of domestic currency? (there are…

A: When import demand rises, demand for foreign currency rises, which appreciates foreign currency and…

Q: Gold Gold standard, used before 1971 when dollars were equal to some amount of gold US dollar is…

A: Money is a medium of exchange which is Used to buy goods and services. Before paper money, goods…

Q: Consider a country that fixes the value of its currency to gold. This country can freely conduct…

A: Answer -

Q: If a company believed that a nation was preparing to devalue its currency, the company should reduce…

A: Meaning of Macroeconomics: The term macroeconomics refers to the situation of economic and…

Question

100%

When the value of the American dollar increases with
respect to other countries' currency, most American
companies and individuals will benefit.
agree or disagree, and defend your position using
terminology you have learned from your economics
course.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Introduction

VIEW

Conclusion

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

why, according to some economists, should canada adopt the U.S dollar as its currency?
If the Fed started printing large quantities ofU.S. dollars, what would happen to the numberof Japanese yen a dollar could buy? Why
Speculators who anticipate a/n)........ in the future value of the dollar relative to the future value of the yen will O decrease increase the demand for dollars O increase; increase the demand for dollars O decrease, decrease the demand for yen O increase, increase the demand for yen
What do you think will happen to the value of the Canadian dollar in 2022? Why?
Evaluate how an appreciating US Dollar could hurt an economy
A country is always worse off when its currency isweak (falls in value).” Is this statement true, false, oruncertain? Explain your answer
Describe some buyers and some sellers in the market for U.S. dollars.
When three is an increase in the value of the European Union’s euro, all else equal, how will American businesses be affected? What will happen when there is a decrease in the value of the American dollar relative to the Japanese yen, given all else is equal?
You own a local company. In the past year, you successfully expanded your sales market into Europe, and you now have profits and cash denominated in euros. You want to convert the euros to your home country currency to repatriate the profits and pay taxes. You are a. not required to convert the euros to the home currency to pay taxes. b. a demander of the euro in the foreign exchange market. c. a supplier of your home country's currency in the foreign exchange market. d. a demander of your home country's currency in the foreign exchange market.
I got confused with this one and thought the transaction would not be recorded in the balance of payment because it doesnt say that the new jersey company is owned by a foreign resident. Since both New York and New Jersey are within the same country, the transaction would not involve any international trade or financial flows that affect the balance of payments of the United States. Thats what I thought but I am not sure
The popularity of the leader of a nation can affect the value of their currency. If the President of the United States has a good popularity rating with the citizens of the United States, does that make the US dollar stronger or weaker? Why or why not?
Give typing answer with explanation and conclusion One of the contentious issues between the US and China is the competitive devaluation of the currency. The value of countries' currencies has a significant impact on the economy. The import of products with comparatively low prices encourages currency devaluation in countries. Using what has just been declared, define what devaluation means and which countries have suffered the worst devaluation against the dollar after the 2022 pandemic. Include some factors to support your position. PLEASE ADD SOURCES TOO