In 2002, $1 = 1 Euro, and in 2006, $1

Multiple Choice

In 2002, $1 = 1 euro, and in 2006, $1 = 0.6 euro. If the price of a Ferrari was $125,000 in 2006, then:

A) U.S. consumers partially benefited, even though the dollar depreciated.
B) U.S. consumers paid the full price because of the depreciated dollar.
C) U.S. consumers benefited because of the appreciation of the dollar.
D) one can say that the J curve effect is not valid.