Question : When a country's currency depreciates, it means that:
Option 1: Its value decreases relative to other currencies.
Option 2: Its value increases relative to other currencies.
Option 3: Its value remains constant.
Option 4: None of the above.
Answer (1)
23rd Jan, 2024
Correct Answer:
Its value decreases relative to other currencies.
Solution : The correct answer is a) Its value decreases relative to other currencies.
When a country's currency depreciates, it means that its value has decreased in relation to other currencies. This means that it takes more units of the domestic currency to buy a unit of another currency. In other words, the domestic currency has become weaker compared to other currencies.
Comments (0)
Related Questions
Trending Articles/News
CUSAT CAT Rank List 2025 - Download Scorecard @cusat.ac.in
11 minutes ago
RULET Result 2025 - Date, Merit List, Counselling
22 minutes ago
