The most direct determinant of the exchange rate of a currency to other currencies is（）
A. the supply and demand of the currency in the foreign exchange market
B. price level in the issuing country of that currency
C. people’s expectation of the trend of the currency
D. the size of the country’s trade balance
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When a country has a large current account surplus, which policy can be adopted to reduce the surplus（）
A. Currency appreciation
B. Tight fiscal policy
C. Increasing export tax rebate
D. Currency depreciation
Which theory is the view that the rise of domestic interest rate will cause the forward discount of local currency（）
A. Purchasing power parity （PPP） theory
B. Elasticity theory
C. Theory of interest rate parity
D. Monetary approach
The price of foreign currency banks to buy foreign currency cash is（）than the purchase price of foreign currency
A. cheaper
B. more expensive
C. the same
D. equal to the central exchange rate
The exchange rate system most conducive to a country’s international balance of payments is（）
A. exchange rate system in the Jamaica system
B. international gold standard system
C. the exchange rate system under the Bretton Woods system
D. the euro system
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