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 Form 4 Business Studies questions and answers on international trade

The domestic currency of a particular country has been depreciating over time. Highlight five disadvantages of the depreciating of the country.

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Answer Text:
-It can lead to inflation in the country
-It can lead to low earnings from exports
-May discourage investments in the country
-May lead to deteriorating terms of trade.
-Can lead to high costs of bank credit


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