--%>

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 : What is Fixed exchange rate system

    Fixed exchange rate system (or pegged exchange rate system): This is a system in which exchange rate of a currency is fixed by government. This system makes sure stability in the foreign trade and capital movement.

  • Q : International trade product life cycle

    I NEED TO UNDERSTAND MORE ABOUT PRODUCTION POSSIBILITY FRONTIER

  • 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 : International portfolio investments 5.

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

  • Q : Tourism services to tourist-Balance of

    In which account of balance of payment tourism services to tourist are involved? Answer: Tourism services to tourist are comprised in current account of Balance of

  • Q : How Balance of payments always balances

    Balance of payments (BOP) always balances. Describe it. Answer: Balance of payments is for all time balanced. The negative balance on current account is equated wit

  • Q : Why Supply of foreign exchange is made

    Supply of foreign exchange: (A) By exports of services and goods(B) Direct foreign investment in residence country(C) For approximate purchases by non-residents in the home country(D) Remittances

  • Q : International monetary system safeguard

    safeguard against the crisis of confidence in system explain

  • Q : State the two sources of demand of

    State the two sources of demand of foreign exchange: Import of services and goods and to acquire education in abroad.

  • Q : Problem on International trade economy

    If the Chinese economy could create all goods with fewer resources per unit than are needed in US, the citizens of China would: (i) Encompass a comparative advantage in the whole thing. (ii) Be self-sufficient since there would be no potential profits from trade. (iii