Suppose the Australian Exchange Rate Falls from 90 Yen Per

question 112

Multiple Choice

Suppose the Australian exchange rate falls from 90 yen per dollar to 80 yen per dollar. Australian exports will ________, Australian imports will ________, and Australian aggregate demand will________.

• A)increase; decrease; increase
• B)decrease; increase; decrease
• C)decrease; increase; increase
• D)increase; increase; increase

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Definitions:

Recall

The act of retrieving information or memories from the past, without the aid of specific cues for what is being remembered.

Proactive Interference

A phenomenon in memory research where older information interferes with the recall of newer information.

Retroactive Interference

An occurrence where newly acquired knowledge hampers the retrieval of information learned earlier.

Encoding Failure

A phenomenon where the brain fails to create a memory link for information, making it difficult to remember later.