Author Question: If it is said that a currency is undervalued against the dollar, it is meant that: A) the dollar ... (Read 64 times)

debasdf · **on:** Jun 30, 2018

If it is said that a currency is undervalued against the dollar, it is meant that:

A) the dollar is worth more of that currency than it would have been under a fixed exchange rate regime.
B) the dollar is worth more of that currency than it would have been under a flexible exchange rate regime.
C) the dollar is worth less of that currency than it would have been under a fixed exchange rate regime.
D) the dollar is worth more of that currency than it would have been under a managed exchange rate regime.

Question 2

The ________ in employment during a recession is smaller if wages are ________.

A) increase; flexible B) decline; rigid C) increase; rigid D) decline; flexible