Question 109 Logical Reasoning 2023 Medium MCQ +1.00 marks · -0.25 negative

The depreciation of an economy’s currency is not a matter of concern in itself. The decline in value against major currencies has to be viewed within a set of macroeconomic factors. The recent depreciation of the Indian rupee is a case in point. The rupee has been depreciating…

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Which of the following, if true, would most strengthen the author’s arguments for why Indian exports may not be able to take advantage of a falling rupee?

A. Economies across the world are witnessing a slowdown, and in such economies, demand for imports decreases substantially. B. Economies across the world are booming, and there is an increasing demand for Indian exports. C. A reduction in the volume of exports would be more than offset by the increased value of dollars that Indian exporters would earn. D. Countries across the world have managed to find ways to insulate themselves from the effects of the Russia-Ukraine war and will need a lot of Indian imports to sustain their new growth models.

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