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The Figure Given Below Depicts the Foreign Exchange Market for British

Question 33

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The figure given below depicts the foreign exchange market for British pounds traded for U.S. dollars.Figure 22.2
The figure given below depicts the foreign exchange market for British pounds traded for U.S. dollars.Figure 22.2    -In the foreign exchange market where French francs are traded for Japanese yen, a decrease in the interest rate in France is most likely to cause: A) a decrease in the yen price of the French franc. B) an increase in the interest rate in Japan. C) an increase in the yen price of the French franc. D) an increase in the demand for French francs. E) an increase in the supply of yen.
-In the foreign exchange market where French francs are traded for Japanese yen, a decrease in the interest rate in France is most likely to cause:


A) a decrease in the yen price of the French franc.
B) an increase in the interest rate in Japan.
C) an increase in the yen price of the French franc.
D) an increase in the demand for French francs.
E) an increase in the supply of yen.

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