Question

How may the existence of the euro affect U.S. international trade?

How may the existence of the euro affect U.S. international trade?

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Answer #1

Existence of euro will directly affect the United State dollar because these are the primary currency used while trading and they are considered the competitive of each other so the valuation of these two currency and depreciation and appreciation of these two currency with relation to each other will determine the the rates around the globe so these will highly influence each other.

Existence of Euro will mean that, when the European currency would be appreciating against the United States dollar, it would be considered negative for the United States economy, and when the European currency, is depreciating against the United States dollar it means that United State economy is going to get benefited, as there would be stronger domestic currency so these two are highly influential of each other

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