Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Open Economy Macro Economics

Question:

Which of the following is the price of one currency in terms of another currency?

Options:

Real exchange rate

Fixed exchange rate

Foreign exchange rate

Real effective exchange rate

Correct Answer:

Foreign exchange rate

Explanation:

Foreign exchange rate is the price of one currency in terms of another currency. Real exchange rate, fixed exchange rate and real effective exchange rate are the types of foreign exchange rate.