ECONOMICS
BALANCE OF TRADE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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the Canadian dollar appreciated so it buys more goods..
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the Canadian dollar depreciated so it more goods.
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the Canadian dollar appreciated so it buys fewer goods..
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the Canadian dollar depreciated so it buys fewer goods..
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Detailed explanation-1: -1 USD = 1.385617 CAD Mar 11, 2023 04:59 UTC Check the currency rates against all the world currencies here. The currency converter below is easy to use and the currency rates are updated frequently.
Detailed explanation-2: -Answer and Explanation: Appreciation in the dollar means that the dollars become expensive relative to other currencies. It implies that it will be expensive for people to purchase goods in dollars. Then, the foreigners would demand fewer goods from the U.S, and the country’s exports would decline.
Detailed explanation-3: -If the dollar depreciates (the exchange rate falls), the relative price of domestic goods and services falls while the relative price of foreign goods and services increases. 1. The change in relative prices will increase U.S. exports and decrease its imports.
Detailed explanation-4: -The loonie will edge 0.6 per cent higher to $1.35 per U.S. dollar, or 74.07 U.S. cents, in three months, according to the median forecast of currency analysts.