Which Cause-And-Effect Chain Would Best Explain the Reason for a Decline

Which cause-and-effect chain would best explain the reason for a decline in net exports? An expansionary fiscal policy:

A) increases domestic interest rates and leads to an appreciation of the dollar that reduces net exports.
B) decreases interest rates and leads to a depreciation of the dollar that reduces net exports.
C) increases domestic interest rates and leads to a depreciation of the dollar that reduces net exports.
D) decreases interest rates and leads to an appreciation of the dollar that reduces net exports.

Correct Answer:

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