Respuesta :
If the exchange rate rises, then the quantity of dollars demanded decrease. because with the higher U.S. Exchange rate, U.S. Exports decrease.
What is the Exchange rate?
- The rate at which one currency will be exchanged for another is known as the exchange rate in the world of finance.
- Most often, currencies are national ones, but they can also be supra-national ones like the euro or sub-national ones like Hong Kong.
- The value of one country's currency in respect to another currency is also thought of as the exchange rate.
- An interbank exchange rate of 114 Japanese yen to the US dollar, for instance, indicates that 114 will be converted into $1 or that $1 will be converted into 114. In this instance, it is said that the cost of a dollar in terms of the yen is 114, or, translated into dollars, that the cost of a yen in terms of the yen is $1/114.
What is an export?
- When it comes to international trade, export is a good made in one nation and sold in another, or a service rendered in one nation to a national or resident of another nation.
- The person who provides these goods or services is an exporter; the overseas customer is an importer.
- Financial, accounting, and other professional services, tourism, education, and intellectual property rights are all examples of services that are involved in international trade.
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