A devaluation of currency is expected to:
A devaluation of currency is expected to: Correct Answer increase export
Devaluation of currency is the deliberate downward adjustment of a country’s currency. It is done to balance trade deficit. Devaluing a currency reduces the cost of a country’s exports. Domestic residents will find imports and foreign travel more expensive. However, domestic exports will be benefited from their exports becoming cheaper. So, devaluation of currency increases exports.