If the dollar interest rate is 5 percent and the euro interest rate is 3 percent, then an investor should O be indifferent between dollars and euros. invest only in euros if the exchange rate is expected to remain constant. O invest only in euros. O invest only in dollars if the exchange rate is expected to remain constant. O invest only in dollars.

Equilibrium dollar/euro exchange rate will increase (dollar will depreciate) if Select one: 0 O a. interest rate on euro deposits decreases b. interest rate on dollar deposits increases c. dollar is expected to appreciate in the future d. none of the above HEAND

Please answer correct calculation a and b pls  Don't answer by pen paper plz

If the exchange rate between the U.S. dollar and the Japanese yen were such that one U.S. dollar equals 100 yen, what would be the price in dollars of a Japanese automobile that cost 2,000,000 yen? A. $100 B. $20,000 C. $120,000 D. $2,000,000

What is the difference between depreciation and devaluation? O There is no difference. O Depreciation refers to a fixed exchange rate, while devaluation refers to a floating exchange rate. O Depreciation refers to a floating exchange rate, while devaluation refers to a fixed exchange rate.

In the U.S. balance of payments, foreign purchases of assets in the United States are a O debit, or outpayment. current account item. O foreign currency outflow. O foreign currency inflow.

What is the exports effect? The exports effect is the result that the lower the exchange rate, other things remaining the same, the O A. higher are the prices of Canadian-produced goods and services to foreigners and the greater is the volume of Canadian imports O B. lower are the prices of foreign-produced goods and services to Canadians and the greater is the volume of Canadian exports O C. higher are the prices of foreign-produced goods and services to Canadians and the greater is the volume of Canadian imports O D. lower are the prices of Canadian-produced goods and services to foreigners and the greater is the volume of Canadian exports Click to select your answer and then click Check Answer. All parts showing Clear All Check Answer P Type here to search 立

As the value of the American dollar increases relative to the Mexican peso, we expect that international demand for American corn output relative to Mexican corn may а. increase decrease b. stay the same as international corn demand is independent of the exchange rates С. we cannot tell Od.

Question 2 of 25 In which situation is a country most likely to choose a flexible exchange rate for its currency? O A. A country believes that its currency will be in low demand in global markets. B. A country worries that the value of its currency could rise and fall unpredictably. C. A country has a reputation for having a strong and stable economy over time. O D. A country wants to make sure that its currency is stable in all economic situations.

urgent dont chaptgpt answer Appreciation of the real exchange rate A. makes U.S. exports less expensive to foreigners. B. benefits all U.S. producers. C. makesJ.S. exports more expensive to foreigners. makest D. means a basket of U.S. goods would exchange for fewer foreign goods.