Floating Exchange Rate Scenarios

An American pays for their hotel reservation in Paris, France (select all that apply)

• Demand for USD (US Dollar) increases

• Supply of USD (US Dollar) increases

• Demand of EUR (Euro) increases

• Supply of EUR (Euro) increases

An American receives wages from their Argentinian employer and transfers it to their US bank account (select all that apply)

• Demand for USD (US Dollar) increases

• Supply of USD (US Dollar) increases

• Demand for ARS (Argentinian peso) increases

• Supply of ARS (Argentinian peso) increases

Heineken’s profits in Nigeria are transferred to a bank account in The Netherlands

• Demand for EUR (Euro) increases

• Supply of EUR (Euro) increases

• Demand for NGN (Nigerian naira) increases

• Supply of NGN (Nigerian naira) increases

German car company Mercedez-Benz expands their factory in Tuscaloosa, Alabama (select all that apply)

• Demand for USD (US Dollar) increases

• Supply of USD (US Dollar) increases

• Demand for EUR (Euro) increases

• Supply of EUR (Euro) increases

Brazilian investors increase investments in Suriname following the discovery of new oil fields (select all that apply)

• Demand for SRD (Surinamese dollar) increases

• Supply of SRD (Surinamese dollar) increases

• Demand for BRL (Brazilian real) increases

• Supply of BRL (Brazilian real) increases

US-based company Amazon pays dividends to its shareholders in India

• Demand for USD US Dollar) increases

• Supply of USD (US Dollar) increases

• Demand for INR (Indian rupee) increases

• Supply of INR (Indian rupee) increases

The Bank of Japan announces a sharp hike in interest rates, prompting a shift of Chinese investors (select all that apply)

• Demand for JPY (Japanese yen) increases

• Supply of JPY (Japanese yen) increases

• Demand for CNY (Chinese yuan/renminbi) increases

• Supply of CNY (Chinese yuan/renminbi) increases

European inflation rates rise sharply compared to those in the U.K. (select all that apply)

• Demand for EUR (Euro) increases

• Supply of EUR (Euro) increases

• Demand for GBP (UK Pound) increases

• Supply of GBP (UK Pound) increases

An American panic-orders 50 packs of toilet-paper from a Canadian online company

• Demand for USD (US Dollar) increases

• Supply of USD (US Dollar) increases

• Demand for CAD (Canadian dollar) increases

• Supply of CAD (Canadian dollar) increases

Name... that... cheese!

• Feta

• Gouda

• Halloumi

• Cheddar