Post Utme Crawford University 2022 Economics Question 34

Practice objective / multiple choice question 34 from the 2022 Post Utme Crawford University Economics examination.

Post Utme Crawford University 2022 Economics Objective / Multiple Choice

Question 34 POST_UTME_CRAWFORD_UNIVERSITY • 2022 • ECONOMICS • objective

A country has a trade deficit of ₦100 billion and a balance of payments deficit of ₦200 billion. What is the effect of this on the country's exchange rate?

Answer Options

A. The exchange rate appreciates.

Correct Answer B. The exchange rate depreciates.

C. The exchange rate remains the same.

D. The exchange rate increases.

Correct Answer

Correct Option:

The exchange rate depreciates.

About This Question

This is Post Utme Crawford University 2022 Economics Question 34. It is one of the objective questions from the 2022 Post Utme Crawford University Economics examination.

View More Post Utme Crawford University 2022 Economics Questions More Post Utme Crawford University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows

Chat with Support