Under a Flexible Exchange Rate System a Decline in the Value

Multiple Choice

Under a flexible exchange rate system a decline in the value of a currency relative to other currencies is a called a(n) ________ and under a fixed exchange rate system a decrease in the official value of a currency is called a(n) ________.

A) depreciation; devaluation
B) appreciation; revaluation
C) revaluation; appreciation
D) depreciation; appreciation