
Foreign Exchange Market
Authored by Melissa Chaffin
Business
11th Grade
Used 5+ times

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10 questions
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1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is it called when the value of a currency decreases relative to another currency; a currency depreciates when you need less of another currency to buy a single unit of a currency?
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is a description of the willingness to buy a currency based on its exchange rate; for example, as the exchange rate for Euros increases, the quantity demanded of Euros decreases?
Demand for currency
Demand for equilibrium
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
When the exchange rate of a currency increases, other countries will want more of that currency.
TRUE
FALSE
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Like any surplus, the equilibrium rate will place downward pressure on the price. If the exchange rate is flexible, then the exchange rate will decrease until the quantity supplied is equal to the quantity demanded.
TRUE
FALSE
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is it called when the exchange rate of currencies are determined in free markets by the interaction of supply and demand?
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
It might seem like a time saver to take short-cuts on labeling graphs, but this is never a good idea. Take your time labeling the foreign exchange market carefully using the elements of a market. What are they?
It might seem like a time saver to take short-cuts on labeling graphs, but this is never a good idea. Take your time labeling the foreign exchange market carefully using the elements of a market. What are they?
Demand, supply, quantity and price
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is it called when the price of one currency in terms of another currency; for example, if the exchange rate for the Euro (€€€€) is 132 Yen (¥¥¥), that means that each Euro that is purchased will cost 132 yen.
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