strong dollar policy


A monetary policy that favors a strong foreign exchange rate for the U.S. Dollar (USD/AUD 1.35, which indicates that one U.S. Dollar will buy 1.35 Australian Dollars). A strong dollar makes imported goods more affordable for the American consumer, but makes U.S. exported goods more costly on the international market. Compare to Weak Dollar Policy.

Use this term in a sentence

You should try and make sure that you know how a strong dollar policy works and look for a way to use it.

​ Was this Helpful? YES  NO 3 people found this helpful.

The strong dollar policy was favored as we were mostly concerned with imports being cheap as were not overly concerned with exports.

​ Was this Helpful? YES  NO 5 people found this helpful.

Some members of the congressional finance committee were questioning the Federal Reserve chairman on whether they were following a strong dollar policy after the dollar fell in the foreign exchange market.

​ Was this Helpful? YES  NO 11 people found this helpful.

Show more usage examples...

Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
strong dollar strong form efficiency