An Increase in Australia's Interest Rates Relative to Other Countries

question 50

Multiple Choice

An increase in Australia's interest rates relative to other countries' interest rates will:

• A) increase the supply of dollars and decrease the demand for dollars
• B) decrease the supply of dollars and leave the demand for dollars unaffected
• C) decrease the demand for dollars and leave the supply of dollars unaffected
• D) decrease the supply of dollars and increase the demand for dollars

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