The exchange rate is volatile because A) the demand curve and ...

[Engineer]

The exchange rate is volatile because
 
  A) the demand curve and the supply curve are horizontal.
  B) when a relevant factor changes, demand and supply tend to change in opposite directions.
  C) the demand curve is vertical.
  D) the supply curve is vertical.
  E) when a relevant factor changes, demand and supply tend to change in the same direction.

Question 2

Holding everything else constant, the U.S. real exchange rate with Thailand will increase if the dollar depreciates.
 
  Indicate whether the statement is true or false

[emilymalinowski12]

Answer to Question 1

B

Answer to Question 2

FALSE

[Engineer]

Thanks for the timely response, appreciate it

[skipfourms123]

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