Which of the Following Would Cause the Demand Curve for Pounds

question 30

Multiple Choice

Which of the following would cause the demand curve for pounds to shift to the left?

• A) a decrease in Britain's rate of inflation relative to U.S. inflation
• B) an increase in U.S. interest rates relative to British interest rates
• C) a rise in British labor productivity relative to U.S. labor productivity
• D) improving American tastes for British goods

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Definitions:

Marginal Probability

The probability of an event occurring, irrespective of the outcomes of other variables.

P(A or B)

The probability that at least one of two events A or B occurs.

Outcome

The result or consequence of an action, experiment, or situation.

Conditional Probability

The probability of one event occurring with some relationship to one or more other events.