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If the USinterest Rate Differential ________,The Demand for Dollars ________ and the and the U.S.exchange

Question 4

Multiple Choice

If the U.S.interest rate differential ________,the demand for dollars ________ and the U.S.exchange rate ________.


A) increases; increase; appreciates
B) decreases; increase; appreciates
C) increases; decrease; depreciates
D) decreases; decreases; appreciates

Correct Answer:

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