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max2010maxim [7]
2 years ago
10

What happens to the cost of foreign goods when the dollar is strong?

Business
2 answers:
Oduvanchick [21]2 years ago
8 0

Answer:

The cost of foreign goods is lower.

Explanation:

When the dollar is strong its value increases which means that you can get more foreign currency for each dollar. This generates that for people in the US it will be attractive to buy foreign products as they will cost less. So, according to this,  when the dollar is strong, the cost of foreign goods is lower.

-Dominant- [34]2 years ago
4 0
The cost of foreign goods rises briefly,then falls
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When the price of a commodity is $11, where 1250 units are being bought and sold in a perfectly competitive market, the market price of the commodity will increase from its original price if the market is monopolized.

<h3>What is a perfectly competitive market?</h3>

In a market where there are less to zero restrictions for entry and exit of buyers and sellers in the market dealing in similar commodities, then such a market is known as a perfectly competitive market.

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Hence, it can be concluded that market prices are stable in a perfectly competitive market, and it generally increases in a monopolistic market.

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