FIGURE 34-3 -Refer to Figure 34-3.An Increase in Demand for Foreign Exchange

question 111

Multiple Choice

FIGURE 34-3
-Refer to Figure 34-3.An increase in demand for foreign exchange OR a decrease in the supply of foreign exchange may be due to

• A)foreign inflation in excess of domestic inflation.
• B)domestic inflation in excess of foreign inflation.
• C)equal rates of inflation.
• D)increased preference for Canadian goods.
• E)more Europeans travelling to Canada.

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