Question
Suppose that a bicycle in France sells for 300 euros. The exchange rate changes from $1 = 1 euro to $1 = 3 euros. How
Suppose that a bicycle in France sells for 300 euros. The exchange rate changes from $1 = 1 euro to $1 = 3 euros. How does this change affect the equivalent U.S. dollar price of the bicycle?
The price increases from $300 to $900.
The price increases from $100 to $300.
The price decreases from $300 to $100.
The price decreases from $900 to $300.
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Microeconomics Theory And Applications With Calculus
Authors: Jeffrey M. Perloff
4th Edition
134167384, 134167381, 978-0134167381
