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4x How Can International Trade Be Affected by Currency Conversion? A 1: Costs a Significant Amount of Money to Exchange One Currency

Problemas

4x How can international trade be affected by currency conversion? A 1: costs a significant amount of money to exchange one currency for another. B A country with a strong currency value can take advantage of a countries resources if it has a much weaker valu C All countries trade using the US dollar so it does not impact international trade. D Currency conversion is not a factor for counties that have free trade agreements.

Roztwór

Mercedes professionell · Tutor durante 6 años
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Respuesta

The correct answer is B.

Explicación

## Step 1The problem is asking us to identify how currency conversion can affect international trade. Each option provides a different perspective on this issue.## Step 2Option A suggests that the cost of currency exchange can be a significant factor affecting international trade. This is true because the cost of currency exchange can affect the overall cost of trade, which can impact the profitability of international trade.## Step 3Option B suggests that a country with a strong currency value can take advantage of a country with a weaker currency value. This is also true because a strong currency can allow a country to purchase more goods and services from a country with a weaker currency, which can lead to an imbalance in trade.## Step 4Option C suggests that all countries trade using the US dollar, which means currency conversion does not impact international trade. This is not true because not all countries use the US dollar for trade, and even when they do, currency conversion can still affect the value of the goods and services being traded.## Step 5Option D suggests that currency conversion is not a factor for countries that have free trade agreements. This is not true because even in free trade agreements, currency conversion can still affect the value of the goods and services being traded.