If the quantity of euro demanded were greater than the quantity supplied, then the price of the
A) euro would rise.
B) euro would fall.
C) dollar would rise.
D) euro would be in equilibrium.

Question

Quizplus · Accepted Answer

If the quantity of euro demanded is greater than the quantity supplied, it means there is a shortage of euro in the market. To resolve this shortage, buyers will have to bid up the price of euro. Therefore, the price of the euro would rise.

If the Quantity of Euro Demanded Were Greater Than the Quantity