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b) The Exchange rate of US $ and Bangladeshi taka is 1 US $ = 75 BDT. What will happen if the exchange rate changes

b) The Exchange rate of US $ and Bangladeshi taka is 1 US $ = 75 BDT. What will happen if the exchange rate changes from 1 US $ =60 BDT? What is the effect on net export? explain.

c) What is real exchange rate? If the nominal exchange rate of Indian Rupee and Bangladeshi taka is 1BDT =1.2 rupee. But the cost of Bangladeshi Lux soap is 35 taka and Indian Lux soap is 17 rupees. Calculate the real exchange rate for both Bangladesh and India?

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