Ask Question
BusinessBusiness
8 November, 06:44

If a nation has a balance of payments deficit and exchange rates are flexible, the price or value of that nation's currency in the foreign exchange markets will rise. true or false

+4
Answers (1)
  1. 8 November, 07:44
    0
    False

    Explanation:

    A nation's currency strength is dependent on how much it's goods are in demand. If there is high demand for a countrie's goods it also follows that there will be high demand for its currency so it will be stronger.

    When there is a balance of payment deficit a country is importing more and borrowing from other countries to buy imports. So it's currency will weaken.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “If a nation has a balance of payments deficit and exchange rates are flexible, the price or value of that nation's currency in the foreign ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Which is the best example of a transfer payment? a) social secruity check b) police officer's paycheck c) fee for renting a park facility d) moving expense reimbursement
Answers (1)
Colby works as a shipping clerk for a major package delivery service. Some of his daily tasks include tracking shipments and entering orders.
Answers (2)
Journalize the entries for the following transactions. Refer to the Chart of Accounts for exact wording of account titles. (Note: The company uses a clearinghouse to take care of all bank as well as non-bank credit cards used by its customers.) Mar.
Answers (1)
Rapid prototyping could be an advantageous methodology for developing innovative computer-based instruction. Software engineers have been successful in designing applications by using rapid prototyping.
Answers (1)
Business cycles are A. alternating periods of smoothly expanding and contracting economic activity, which are usually illustrated using movements in nominal GDP. B.
Answers (1)
New Questions in Business
The University Golf Shop desires to make $10,000 in pretax profits. If the contribution margin ratio (CMR) is 50% and the fixed costs are $110,000, what is the required level of sales
Answers (1)
Uriah received the following interest payments:Interest of $400 on an overpayment of a previous year's Federal income taxesInterest of $300 on an award received for money lost due to fraud by his previous investment advisorInterest of $1,500 on
Answers (1)
4. Trade policies Tariffs and quotas do which of the following? Benefit domestic producers of the protected good and harm domestic consumers of the protected good Benefit foreign producers of the protected good and harm domestic producers of the
Answers (1)
How did whirlpool use capabilities of text analytics to better understand their customers and improve product offerings?
Answers (1)
How did the Once-ler encourage his target market to learn more about the thneeds?
Answers (1)
Home » Business » If a nation has a balance of payments deficit and exchange rates are flexible, the price or value of that nation's currency in the foreign exchange markets will rise. true or false
Sign Up Forgot Password?