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Complete the sentence. The quantity of U.S. dollars supplied in the foreign exchange market depends on​ _______.

A. the Dow Jones Industrial Average
B. decisions of the Federal Reserve
C. the expected future exchange rate
D. the demand for U.S. dollars in the foreign exchange market

1 Answer

3 votes

Answer:

D) the demand for U.S. dollars in the foreign exchange market

Step-by-step explanation:

The US dollar is a free floating currency. This means that the exchange rate of the US dollar is determined by the supply and demand for dollars in the foreign exchange market. The exchange rate of the US dollar is not fixed and may vary on a daily basis.

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