1. Which of the following affect the demand for the pound on the foreign exchange market?
- UK speculator buying shares on the New York Stock Exchange
- UK tourists going on holiday
- Boeing (US aircraft manufacturer) buying engines from Rolls-Royce in the UK
- ICI (a UK firm) buying raw materials from overseas
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Other questions in this quiz
2. What is an interest rate?
- The rate at which foreign goods are bought
- A tariff on foreign imports
- The percentage reward or payment over a period of time that is given to savers on savings or paid by borrowers on loans
- A tax paid by consumers when buying foreign goods
3. What is meant by a fixed interest rate?
- Interest rates will only change if the prime minister says they must
- An interest rate which can flucuate
- An interest rate which will not change at whatsoever over the life of a loan
- A tax paid by tradesmen
4. In the UK, the base interest rate is set by...
- Monetary Policy Commitee
- The house of commons
- The chancellor of the exchequer
- Chief secretary to the treasury
5. If the value of the pound decreases, who will be affected?
- UK tourism
- UK exporters of goods
- UK importers of materials
- UK businesses
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