answersLogoWhite

0


Best Answer

If the US dollar depreciates, the currency pairs such as EUR/USD, AUD/USD, GBP/USD...., and commodities that dominated in US dollar including Gold, Silver... will go up. In terms of investment, capital will run out of US and flow into areas which have higher rates. Reference: Alpari analytics

User Avatar

Wiki User

8y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What happens if the US dollar depreciates?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

What happens when the euro depreciates against the US dollar?

we all go broke


What happens if the dollar price of yen rises?

the dollar depreciates relative to the yen.


What is likely to happen to US imports from and exports to Mexico if the peso depreciates with respect to the dollar?

If the peso depreciates, it means it will be easier to export items from Mexico and in turn it will be harder for items to be imported into Mexico.


If the U.S dollar depreciates who BENEFITS. a.American traveling abroad b.U.S domestic exporters c.US importers d.the Federal Reserve.?

If the U.S dollar depreciates who BENEFITS.


What happens when the interest rate decreases?

As interest rates fall in the United States, capital flows out of the country because the lower interest rates are a disincentive for foreign and domestic capital. As capital flows out of the nation, the demand for the dollar decreases. As demand for the dollar decreases, the value of the dollar depreciates. When the dollar depreciates, goods made in the United States appear less expensive to domestic and foreign consumers. Therefore, imports decrease while exports increase.


What happens when the US dollar appreciates?

The dollar is worth more.


What are the economic effects of a depreciation of the dollar on foreign exchange markets?

When the dollar depreciates (dollar price of foreign currencies rises), U.S. exports rise and U.S imports fall.


What happens if you wash us dollar bills?

The money becomes clean.


Would it be a good you idea to invest in gold?

Yes gold would be a good investment. Due to the current economic situation the U.S. dollar is weak and getting weaker. However as the dollar depreciates the price of gold goes up.


What happens when the value of the us dollar goes down?

if the value of dollar goes down, there are big effect to the ofw, for example the remittaces of the ofw when they sent the dollar here in Philippines the value of the dollar is depreciated.


How much is a US dollar worth in Hawaii?

The US Dollar (USD) happens to be the coin of the Realmfor Hawaii since 1898 when it became a US Territory, and it continues to be the local favorite since it became a US State in 1959.


What is correct 'a US dollar' or 'an US dollar'?

a us dollar