Exchange Rates
AP Macroeconomics · Flashcards · Recall
AP MACROECONOMICS · FLASHCARDS
Card 1
of 39
0 got it
0 to review
Current
Got it
Still learning
Not seen
QUESTION
What does the real exchange rate account for?
QUESTION
State the effect of an increase in foreign investment on a currency.
QUESTION
How does a country's trade balance affect exchange rates?
Tap to flip before you grade
ANSWER
Trade surpluses increase currency demand. Exports create demand for domestic currency.
Swipe → got it · swipe ← still learning
Got it
Still learning
Flip Card
Previous card
Next card