Carlos Silva, a Colombian singer, goes on tour to the United ...

[geodog55]

Carlos Silva, a Colombian singer, goes on tour to the United States for one month, following high American demand for his live shows. Assuming that all the show's expenses are paid by the U.S. promoters, other things equal, the U.S. tour will bring about:
 a. a decreased supply of Colombian pesos in the foreign exchange market.
  b. an increased supply of American dollars in the foreign exchange market.
  c. an increased supply of Colombian pesos in the foreign exchange market.
  d. a decreased demand for Colombian pesos in the foreign exchange market.
  e. an increased demand for American dollars in the foreign exchange market.

Question 2

If interest rates rise in the United States relative to those in the rest of the world, the exchange value of the dollar will tend to appreciate.
 a. True
  b. False
  Indicate whether the statement is true or false

[djpooyouma]

Answer to Question 1

b

Answer to Question 2

True

[geodog55]

Correct answers!

[djpooyouma]

Great! Please up vote