If the demand for dollars outstrips its supply and if the supply of japanese yen is greater than the demand for it, "The dollar will appreciate against the yen" will happen.
If the country has lower inflation rate then the currency value will increase and vice versa. If the currency value increases then the purchasing power also increases. If the currency value decreases then there will be the depreciation in the value of the currency.
The U.S. dollar is the currency most used in international transactions. Several countries use the U.S. dollar as their official currency, and many others allow it to be used in a de facto capacity. It's known locally as a buck or greenback.
In standard Japanese, the yen is pronounced 'en' and literally means 'round object'. It is widely used throughout the world as a reserve currency after the United States dollar, the euro and the pound sterling.
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