The _rate is determined by the demand for and supply of a currency.

Related MCQs

• In the determination of the exchange value of a currency, the first currency of a currency pair is called _ .
• Flexible exchange rate system, the exchange rate is determined by _     
• Reducing the value of domestic currency in term of foreign currency :
• The currency used for international transactions irrespective of the importing or exporting country’s currency is called _ .
• When supply of foreign exchange is increased given the demand for foreign exchange, the rate of exchange _.
• According to J S Mill, equilibrium terms of trade is determined by __ demand
• According to _ theory, the exchange rate between two currencies is determined by their purchasing power.
• According to the Purchasing Power Parity theory, the rate of exchange between the currencies of two countries is determined by_                      
• “Supply creates its own demand “is a law of:
• Supply creates its own demand is the Basis of: