In each case, indicate whether the example (a) affects the demand for or supply of British pounds on international markets; (b) shifts demand/supply to the right or the left; (c) causes the pound to...


In each case, indicate whether the example (a) affects the demand for or supply of British pounds on international markets; (b) shifts demand/supply to the right or the left; (c) causes the pound to appreciate or depreciate.


(a) Due to Brexit, European firms sharply cut purchases of British goods.



(b) Foreign banks increase purchases of shares in British corporations.



(c ) With COVID-19 cases rising, British residents cancel foreign travel plans.




Jun 10, 2022
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