Which of the following statements is most likely to be true regarding a currency's price if the supply of the currency increases?
A)The price of the currency fluctuates randomly.
B)The price of the currency remains constant.
C)The price of the currency lowers.
D)The price of the currency increases.

Question

Quizplus · Accepted Answer

According to the law of supply and demand, an increase in supply will lead to a decrease in price. Therefore, if the supply of a currency increases, its price is most likely to lower.

Which of the Following Statements Is Most Likely to Be