The foreign currency price of foreign goods in terms of the local currency price of domestic goods is called O purchasing parity the trade weighted exchange rate the real exchange rate the balance of trade Question 6 1 pts An increase in the supply of U.S. dollars by the Federal Reserve will raise the value of the dollar because it will stimulate U.S. economic growth O raise the value of the dollar because it will lead to higher U.S. interest rates O reduce the value of the dollar because of inflation fears in the United States decrease the value of the dollar because it will force other countries to raise their