Ceteris Paribus, a Rise in U.S. Interest Rates

question 81

Multiple Choice

Ceteris paribus, a rise in U.S. interest rates

• A)will cause international investors to decrease their demand for dollar-denominated assets.
• B)has no effect on international investors.
• C)will cause international investors to increase their demand for dollar-denominated assets
• D)will have no effect on dollar-denominated assets but will cause an increase in the demand for yen-denominated assets.
• E)will have an uncertain effect on dollar-denominated assets.