A government may be able to reduce the international value of its currency by:
a. selling foreign currencies in the foreign exchange market.
b. selling its currency in the foreign exchange market.
c. increasing its domestic interest rates.
d. buying its currency in the foreign exchange market.
Generally speaking, a government may be able to reduce the international value of its currency by "b. selling its currency in the foreign exchange market," since this "floods" the market with the currency in question, thus making it less desirable for investors.
