2. If the dollar price of the yen (the price of the yen stated
in dollars) rises, then we would say that
the dollar has appreciated relative to the yen.
the inflation adjusted value of the dollar has fallen.
the yen has appreciated relative to the dollar.
the yen has depreciated relative to the dollar.
3. If the dollar used by 160 Yen and now buys 100 Yen, there has
been
a decrease in the demand for Yen.
a depreciation of the Yen.
a depreciation of the Dollar.
an appreciation of the Dollar.
4. The demand for foreign currency in the U.S. is a
direct demand.
derived demand based on the demand for U.S. products.
derived demand based on the demand for foreign products.
direct demand based on the demand for U.S. dollars.
5. The supply of dollars in foreign exchange markets is
determined by the Federal Reserve Board.
determined by the demand for American goods.
determined by the American demand for foreign goods.
a function of the international banking system.
6. If the Euro appreciates relative to the American
dollar, then
it takes more Euros than before to buy each dollar.
It will be less expensive than before for Europeans to travel in
the United States.
it takes fewer dollars than before to buy each Euro.
European products have become less expensive for Americans.
7. The price of one currency in terms of another is the
price of gold.
price of a SDR.
foreign exchange rate.
domestic exchange rate.
