Using a supply and demand graph, predict the effect on the exchange rate if there is a decrease in US interest rates.

Analyze the effect of currency appreciation on the demand for US exports.

What is the implication of treating the supply of US dollars as fixed when analyzing exchange rates?

If the exchange rate for US dollars increases, what happens to the quantity of US dollars demanded, and how is this represented on a demand curve?

What happens to foreign demand for US investments when the US dollar is weak?

How does a high value of the US dollar affect the demand for US exports?

Evaluate the impact of a shift in the demand curve for US dollars to the right on the equilibrium exchange rate.

If the US dollar depreciates, what is the likely effect on the demand for US exports?

How is the relationship between the exchange rate and the quantity of US dollars demanded typically represented on a graph?

What is a potential drawback of treating the supply of US dollars as fixed in exchange rate analysis?