Q.1.11 What is a foreign exchange rate? (a) The rate at which the currency of one country trades for the goods of another country. (b) The rate at which one country’s goods trade for those of another country. (c) The rate at which currencies of different countries are exchanged. (d) The rate at which one country’s currency trades for gold provided by another country.
Q.1.11 What is a foreign exchange rate?
(a) The rate at which the currency of one country trades for the goods of
another country.
(b) The rate at which one country’s goods trade for those of another
country.
(c) The rate at which currencies of different countries are exchanged.
(d) The rate at which one country’s currency trades for gold provided by
another country.
Q.1.12 As a result of more Americans visiting South Africa, we can expect, ceteris paribus:
(a) an appreciation of the rand relative to the dollar.
(b) a depreciation of the rand relative to the dollar.
(c) an appreciation of the dollar relative to the rand.
(d) that it will cost South Africans more to visit the United States.
Q.1.13 What is a tariff?
(a) A form of subsidy.
(b) A tax on imported goods.
(c) A tax on foreign property.
(d) A form of quota.
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