--%>

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 : Problem related to direct foreign

    China is a huge manufacturer of technology of telephone devices. It has lately become a member of W.T.O. that means it can sell its products in other member countries such as India. Assume that it does export a big number of telephone instruments to India:

  • 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 : Define fixed exchange rate Fixed

    Fixed exchange rate: It is the rate of exchange which is fixed by the Government in an economy.

  • Q : What is managed floating exchange rate

    Managed floating exchange rate: This is a system in which the central bank or Government permits the exchange rate to identify market forces although they take decisions to intervene whenever they feel it suitable.

  • Q : International portfolio investments 5.

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

  • Q : Describe the meaning of deficit in BOP

    Describe the meaning of deficit in BOP: Whenever autonomous foreign exchange payments surpass autonomous foreign exchange receipts, the difference is termed as balance of payments deficit.

  • Q : Define foreign exchange rate Foreign

    Foreign exchange rate: The Foreign exchange rate is a price of foreign currency in terms of domestic currency.

  • 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 : Balance of trade Which transactions

    Which transactions find out the balance of trade? When the balance of trade is in surplus?

  • Q : Indian economic what are the key

    what are the key callenges to indian economic development