Economics 0455 · IGCSE · Current account of balance of payments

Current account of balance of payments — practice question

What might be caused by a balance of payments trade surplus?

  • AThe exchange rate appreciates and causes export prices to fall.
  • BThe exchange rate appreciates and causes export prices to rise.
  • CThe exchange rate depreciates and causes export prices to fall.
  • DThe exchange rate depreciates and causes export prices to rise.

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