Question

A restructuring of operations that ____ the difference between a foreign currency's inflows and outflows may ____ economic exposure.
A. reduces; increase
B. increases; reduce
C. reduces; reduce
D. reduces; increase AND increases; reduce

Answer 1

Answer:

C. reduces; reduce

Explanation:

When there are an inflow and outflow of capital with respect to the foreign as an in and out of an economy so this represents a major and important aspect of the globalization. Simultaneously these type of inflows and outflows important impact the depreciation and the appreciation of the currency of the country in terms of foreign exchange reserves that directly impacted

Therefore the correct option is c.