English

When domestic currency loses its value in relation to a foreign currency in the international money market, it is a situation of: -

Advertisements
Advertisements

Question

When domestic currency loses its value in relation to a foreign currency in the international money market, it is a situation of:

Options

  • Currency appreciation

  • Currency depreciation

  • Currency devaluation

  • None of the above

MCQ

Solution

Currency depreciation

Explanation:

The term "depreciation of domestic currency" refers to a decrease in the value of a domestic currency in terms of a foreign currency as a result of a rise in the foreign exchange market's foreign exchange rate.

shaalaa.com
  Is there an error in this question or solution?
Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×