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Which of the following would demand dollars in the foreign exchange market? I. A

ID: 1205198 • Letter: W

Question

Which of the following would demand dollars in the foreign exchange market?
I. Americans who want to buy U.S. goods, services, and assets
II. Americans who want to buy European goods, services, and assets
III. Europeans who want to buy U.S. goods, services, and assets

III only

II only

I, II, and III

I only

Which of the following would demand dollars in the foreign exchange market?
I. Americans who want to buy U.S. goods, services, and assets
II. Americans who want to buy European goods, services, and assets
III. Europeans who want to buy U.S. goods, services, and assets

III only

II only

I, II, and III

I only

Explanation / Answer

The correct answer is option (A). The demand of dollars in the foreign exchange market is shown by europeans who want to buy U.S. goods, services, and assets.

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