Question: What would result from a devaluation of a country's exchange rate?
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a.a increase in the foreign currency price of imports
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b.a reduction in the domestic currency price of imports
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c.a reduction in the domestic currency price of exports
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d.a reduction in the foreign currency price of exports
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e.none of these
Answer: d
 a increase in the foreign currency price of imports b) a reduction in the domestic currency price of imports c) a reduction in the domestic currency price of exports d) a reduction in the foreign currency price of exports e) none of these Ans. d) a reduction in the foreign currency price of exports
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