Attached.

1.If the exchange rate market is currently yen per dollar and the equilibrium exchange rate is 80
Yen per 1 dollar, then an increase in the demand curve will do which of the following:
Group of answer choices
cause the Yen to appreciate in value
cause the exchange rate to be less than it was before
cause the dollar to depreciate in value
cause the dollar to appreciate in value

2.
Suppose you are travelling to Europe in one year. The current $ to Euro exchange rate is $1.11.
If you believe that the dollar will gain on the Euro then you are better off using the
Group of answer choices
forward exchange market as the dollar will appreciate
forward exchange market as the dollar will depreciate
spot market as the dollar will appreciate
spot market as the dollar will depreciate
3.
Which of the following is not a reason for changes in exchange rates?
Group of answer choices
purchasing power parity
strong economic growth
the gold standard
speculation
4.
The Bretton Woods exchange rate system was an example of a
Group of answer choices
target zone.
managed float.
pure gold standard.
modified gold standard.
floating exchange rate system.
5.
Consider the dollar to pound foreign exchange market. An increase in the supply of foreign
exchange in this market will
Group of answer choices
cause the dollar to appreciate
cause the dollar to depreciate
cause the pound to appreciate
cause the pound to depreciate
A and D

B and C
6.
Table 9.3

Based on Table 9.3, the current account balance is
Group of answer choices
-2 percent of GNP.
+2 percent of GNP.
+4 percent of GNP.
-4 percent of GNP.
None of the above.
7.
A current account deficit implies that
Group of answer choices
the financial account is negative.
the financial account is in surplus.
exports of goods and services exceed imports of goods and services.
unilateral transfers are posi...