When the dollar depreciates, which of the following generally happens in industries with direct competition in foreign countries?
A)employment increases.
B)employment decreases.
C)employment remains the same.
D)At first employment increases; however, if the dollar continues to decrease in value, jobs become scarce.

Question

Quizplus · Accepted Answer

When the dollar depreciates, American goods become cheaper for foreign buyers, potentially increasing demand for these goods. This can lead to higher production needs and possibly more employment in industries that compete internationally.

When the Dollar Depreciates, Which of the Following Generally Happens