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    Question : Devaluation is mostly done to ____.

    Option 1: encourage export 

    Option 2: encourage import 

    Option 3: discourage import 

    Option 4: encourage both export and imports

    Team Careers360 25th Jan, 2024
    Answer
    Answer (1)
    Team Careers360 26th Jan, 2024

    Correct Answer: encourage export


    Solution : The correct answer is encourage export .

    Devaluation is mostly done to encourage exports by making a country's goods more competitively priced in the global market. When a currency is devalued, its exchange rate decreases, making exports cheaper for foreign buyers.

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