Question: As a result of a decrease in the demand for U . S . dollars, there has been depreciation in the value of the U

As a result of a decrease in the demand for U.S. dollars, there has been depreciation in the value of the U.S. dollar relative to New Zealand dollars. The depreciation in the U.S. dollar has benefitted some groups but harmed others. Indicate which of the groups are winners and which are losers from the standpoint of the depreciation of the U.S. dollar.
A. Todd, an American, goes to visit New Zealand for spring break.
loser
B. An investment bank in New Zealand is interested in purchasing U.S. government bonds.
winner
C. Goodyear, a firm based in the United States, sells car tires in New Zealand.
D. A family from New Zealand visits relatives in the United States.
winner
E. A firm from New Zealand sells handbags in the United States.
winner
F. An electronics manufacturer based in the United States, purchases a high tech company in
loser
New Zealand.
Incorrect Answer
As a result of a decrease in the demand for U . S

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!