Author Question: If the exchange rate changes from 1.5 euros per dollar to 1.0 euro per dollar, the euro has A) ... (Read 94 times)

jwb375 · **on:** Jun 29, 2018

If the exchange rate changes from 1.5 euros per dollar to 1.0 euro per dollar, the euro has

A) depreciated against the dollar.
B) appreciated against the dollar.
C) fallen inversely in value.
D) depreciated against the euro.
E) appreciated against the euro.

Question 2

According to the equation of exchange, if the quantity of money is 20 billion, velocity 3, and real GDP is 6 billion, then the price level is

A) 10. B) 1.1. C) 2. D) 1.6. E) 40.