The Figure Given Below Depicts the Foreign Exchange Market for British

Multiple Choice

The figure given below depicts the foreign exchange market for British pounds traded for U.S. dollars.Figure 22.2

-When the exchange rate moves from $1 = CAD1.5 to $1 = CAD1.66, it implies:

A) the U.S. dollar has depreciated in relation to the Canadian dollar.
B) U.S. imports of Canadian goods will rise.
C) the dollar price of the Canadian dollar has risen.
D) the Canadian dollar has appreciated in relation to the U.S. dollar.
E) Canadian imports of U.S. goods will rise.