Post Utme Oau 2025 Economics Question 16

Practice objective / multiple choice question 16 from the 2025 Post Utme Oau Economics examination.

Post Utme Oau 2025 Economics Objective / Multiple Choice
Question 16 POST_UTME_OAU • 2025 • ECONOMICS • objective

Suppose a country has a trade deficit of $100 billion and a current account deficit of $50 billion. What is the likely effect on its exchange rate?

Answer Options

A. The exchange rate will appreciate
Correct Answer B. The exchange rate will depreciate
C. The exchange rate will remain unchanged
D. The exchange rate will fluctuate
Correct Answer
B
Correct Option:
The exchange rate will depreciate

About This Question

This is Post Utme Oau 2025 Economics Question 16. It is one of the objective questions from the 2025 Post Utme Oau Economics examination.

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