Ch 5 Global Trade [AP & Reg]

Financial capital not real capital not d1 s b using a

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Unformatted text preview: rate changes so that fewer dollars are required to buy a yen, the dollar will (appr/depr) & (fewer/more) U.S. goods will be exported to Japan. 24. If the dollar price of yen increases, then the dollar (appreciates/depreciates) relative to the yen and our exports to Japan (increase/decrease). 25. If Mexico’s price level is increasing faster than that of the U.S., the peso will (appr/depr) and their exports to the U.S.[our imports] will (incr/decr). 26. If German’s growth rate[income] is increasing faster than that of Mexico, the euro will (apprec/deprec) & Germany’s exports to Mexico will (incr/decr). 27. If interest rates are decreasing faster in Italy relative to Mexico, the euro will (appreciate/depreciate) and Italy’s exports to Mexico will (incr/decr). 28. If the dollar price of the yen decreases, the dollar (appreciates/depreciates) relative to the yen and American exports to Japan (increase/decrease). 29. If the dollar price of the euro decreases, our imports from Europe (incr/decr). 30. I...
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