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Economics
CFA Level I
How exchange rate can affect the aggregate demand.
Answers (3)
Sriram Somayajula Admin
Imports become costly if currency depreciates and vice versa - change ein price will lead to change in demand
Can you please explain me in this
Thread Starter
naman chaturvediCan you please explain me in this
Say Rupee depreciates to 100 from 83 cost of chips importedto manufacture phones increases cost of phones manufactired in india using imported components increases sale price of phones increases demand for phones decreases
