Who benefits and who is hurt if the dollar rises against the euro?

Answer 1

If the dollar rises against the euro, U.S. consumers and importers benefit as imported goods from Europe become cheaper, making travel and purchasing more affordable. However, American exporters may be hurt as their products become more expensive for European buyers, potentially leading to decreased sales. Additionally, European tourists and businesses may face higher costs when traveling to or purchasing from the U.S., impacting their economic activity. Overall, the effects are a trade-off between consumers and exporters on both sides of the Atlantic.