Year 11 Exam > Year 11 Tests > Economics for GCSE/IGCSE > Test: Foreign Exchange Rates - Year 11 MCQ
Test: Foreign Exchange Rates - Year 11 MCQ
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10 Questions MCQ Test Economics for GCSE/IGCSE - Test: Foreign Exchange Rates
Test: Foreign Exchange Rates for Year 11 2024 is part of Economics for GCSE/IGCSE preparation. The Test: Foreign Exchange Rates questions and answers have been
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Test: Foreign Exchange Rates - Question 1
Which exchange rate system allows currencies to fluctuate based on market demand and supply?
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Test: Foreign Exchange Rates - Question 2
What action does a Central Bank take to strengthen its currency under a fixed exchange rate system?
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Test: Foreign Exchange Rates - Question 3
How does an increase in UK interest rates affect the value of the Pound (£)?
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Test: Foreign Exchange Rates - Question 4
What economic factor can cause a country's currency to depreciate in a floating exchange rate system?
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Test: Foreign Exchange Rates - Question 5
Which exchange rate system involves setting a fixed value for a country's currency relative to another?
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Test: Foreign Exchange Rates - Question 6
What term describes the adjustment of a fixed exchange rate to increase the value of a currency?
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Test: Foreign Exchange Rates - Question 7
How do changes in tastes and preferences globally affect a country's currency value?
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Test: Foreign Exchange Rates - Question 8
Which factor directly impacts a country's current account balance and consequently its currency value?
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Test: Foreign Exchange Rates - Question 9
What role does speculation play in influencing exchange rates?
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Test: Foreign Exchange Rates - Question 10
How does quantitative easing (QE) typically affect a country's currency in the forex market?
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