Other things the same, if the exchange rate changes from 8 Krone per dollar to 3 Krone per dollar, the dollar has
depreciated and buys fewer foreign goods.
Is Krone stronger or weaker? Is US$[0] stronger or weaker? Remember, a stronger dollar can buy more foreign goods.
Other things the same, if the exchange rate changes from 6.1 Franc per dollar to 0.3 Franc per dollar, the dollar
depreciates so US goods become less expensive relative to foreign goods.
Is Franc stronger or weaker? Is US$[1] stonger or weaker. Remember, stronger currency can buy more foreign goods.
Other things the same, if the exchange rate changes from 1.5 Pound per dollar to 5.4 Pound per dollar, the dollar
appreciates so US goods become more expensive relative to foreign goods.
Is Pound stronger or weaker? Is US$[2] stonger or weaker? Remember, stronger currency can buy more foreign goods.
A depreciation of the U.S. exchange rate induces U.S. consumers to buy
more domestic goods and fewer foreign goods.
Is US$[3] stronger or weaker? Remember, a stronger currency can buy more foreign goods.
An appreciation of the U.S. exchange rate induces U.S. consumers to buy
fewer domestic goods and more foreign goods.
Is US$[4] stonger or weaker? Remember, stronger currency can buy more foreign goods.
Other things the same, if the exchange rate changes from 4.9 Pesos per dollar to 9.1 Pesos per dollar, then the dollar
appreciates, which causes US net exports to decrease.
Is Pesos stronger or weaker? Is US$[5] stronger or weaker? Remember, a stronger currency can buy more foreign goods.
Other things the same, if the exchange rate changes from 9.5 Pound per dollar to 3.2 Pound per dollar, then the dollar
depreciates which causes US net exports to increase.
Is the Pound stronger or weaker? Is US$[6] stonger or weaker? Remember, stronger currency can buy more foreign goods.
Box 1: Select the best answer
Box 2: Select the best answer
Box 3: Select the best answer
Box 4: Select the best answer
Box 5: Select the best answer
Box 6: Select the best answer
Box 7: Select the best answer