Ceteris Paribus,with a Fixed Exchange Rate,if Americans Decide to Buy

question 72

Multiple Choice

Ceteris paribus,with a fixed exchange rate,if Americans decide to buy more Japanese-made television sets,this causes a market ________ of Japanese currency and creates a balance-of-payments ________ for the United States.

• A)surplus;deficit
• B)shortage;deficit
• C)surplus;surplus

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