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Chako Chako
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Posts: 2948
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8 years ago
Which one of the following statements is the MOST accurate?
A) Depreciation is a rise in E when the exchange rate floats while devaluation is a decrease in E when the exchange rate is fixed.
B) Depreciation is a decrease in E when the exchange rate floats while devaluation is a rise in E when the exchange rate is fixed.
C) Depreciation is a fall in E when the exchange rate is fixed while devaluation is a fall in E when the exchange rate floats.
D) Depreciation is a rise in E when the exchange rate floats while devaluation is a rise in E when the exchange rate is fixed.
E) Depreciation is a rise in E when the exchange rate is fixed while devaluation is a rise in E when the exchange rate floats.
Textbook 
International Economics: Theory and Policy

International Economics: Theory and Policy


Edition: 10th
Author:
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machukianmachukian
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#1
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8 years ago
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Chako Author
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#2
8 years ago
Makes a lot of sense, and you're right.. I appreciate the input
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#3
8 years ago
Happy to help you!
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