Ceteris Paribus, If Exchange Rates Are Flexible and U

question 168

Multiple Choice

Ceteris paribus, if exchange rates are flexible and U.S consumers buy more foreign goods:

• A) the dollar will depreciate.
• B) the supply of U.S. dollars in foreign exchange markets will decrease.
• C) the dollar will appreciate.
• D) the demand for U.S. dollars in foreign exchange markets will decrease.

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Decentralized Network

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