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tarasen57 tarasen57
wrote...
Posts: 536
4 years ago
What will happen to the exchange rate between the British pound and the U.S. dollar if British prices increase?
Textbook 
Macroeconomics: Principles, Applications and Tools

Macroeconomics: Principles, Applications and Tools


Edition: 7th
Authors:
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wrote...
4 years ago
British price increases will decrease the supply of dollars, so all else equal the dollar will appreciate in value relative to the pound. British price increases will also decrease the demand for British pounds in the United States.
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