(a) Why is the supply of dollars upward sloping? Why is the demand for dollars downward sloping?
(b) Given the private supply and demand for the dollar shown below, if the government wants to keep the exchange rate value of the dollar at P0 by intervening in the exchange market, what must it do?
(c) How does this action show up on the balance of payments account?
(d) At an exchange rate of P0, does the country have a private balance of payments surplus or deficit? Or is it in balance? 
Definitions:
Information
A finding by a magistrate that there is enough evidence to charge the defendant and bring her or him to trial.
Text
Written or printed words, especially the main body of work in published or unpublished form.
UPA
An abbreviation for Uniform Partnership Act, a set of laws adopted by states to regulate the operation of partnerships within its jurisdiction.
Partnership Liability
Partnership liability is the legal responsibility shared among partners in a partnership for debts and obligations of the partnership.
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