Foreign Exchange Fun Quiz

Foreign Exchange Fun Quiz

University

6 Qs

quiz-placeholder

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Foreign Exchange Fun Quiz

Foreign Exchange Fun Quiz

Assessment

Quiz

Social Studies

University

Practice Problem

Hard

Created by

DR Fazle

Used 1+ times

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6 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

The largest centre for trading in foreign exchange is

New York

London

Tokyo

Hong Kong

2.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

Which of the following conditions may lead to a decline in the value of a country's currency?

Low-interest rates

High inflation

Large current account deficit

2 and 3 options

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The large U.S. current account deficit implies that

U.S. interest

rates are too high.

the value of

the dollar is too weak.

the United States must rely on foreigners to be willing to invest in the United States.

None correct

4.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

A current account deficit implies that

more goods and services are exported than are imported.

the country borrowed from abroad more than it loaned and/or sold off some of its assets.

the country is going bankrupt

the value of the dollar will rise

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The ________________ measures the net flows of imports and exports of goods, services, income payments, and unilateral transfers.

current account

capital account

statistical discrepancy

basic balance

account

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The concept underlying purchasing power parity is the

Fisher effect.

Bretton Woods Agreement.

law of one price.

Big Mac Index.