--%>

Influence of supply in exchange rate

If exchange rate of foreign currency downs or falls its supply too falls. Elucidate how?

Answer: If exchange rate downs or falls, experts become less gainful therefore supply of foreign currency via exports falls.

   Related Questions in International Economics

  • Q : Define balance of payment or BOP

    Balance of payment: It is a systematic record of each and every economic transaction of a country with the rest of world in an accounting year.

  • Q : Who was 1970 Nobel Laureate in Economics

    Who was 1970 Nobel Laureate in Economics?

  • Q : Define flexible exchange rate Flexible

    Flexible exchange rate: The rate of exchange in terms of other currencies is determined by market forces of demand-supply.

  • Q : What is Flexible exchange rate system

    Flexible (or floating) exchange rate system: This is a system in which exchange rate is found out by forces of demand and supply of the foreign currencies concerned in the foreign exchange market. There is no official interference in the foreign excha

  • Q : Scarcities in International markets

    Assume that many people are willing and capable to pay greater than production costs for certain goods however pervasive shortages exist. International agreements or domestic laws and policy are most likely key factors if we consider sustained scarcities in ma

  • Q : What is autonomous or public investment

    Autonomous or public investment: It is a type of investment that is not of profit motivated.

  • Q : International portfolio investments 5.

    5. What are the factors responsible for the recent surge in international portfolio investment?

  • Q : Who won the Nobel Prize for Economics

    Who won the Nobel Prize for Economics in 1997?

  • Q : Problem regarding Comparative advantage

    Assume that El Salvador can generate coffee at lower opportunity costs than Spain, whereas Spain can generate olive oil at lower opportunity costs than El Salvador. The citizens of both countries can potentially profit from international trade since of the efficiency

  • Q : What does a deficit in balance of trade

    Deficit in balance of trade point: Deficit in balance of trade points out that the imports of good are bigger than exports.