A Decrease in the Real Interest Rate Outside of Canada

question 16

Multiple Choice

A decrease in the real interest rate outside of Canada will ________ the demand for the dollar and ________ the demand for foreign financial assets.

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

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Definitions:

Destroyed

Rendered unusable or ruined to such an extent that restoration or repair is impossible.

Insane

Refers to a state of mind that prevents normal perception, behavior, or social interaction; seriously mentally ill.

Unilateral Contract

A contract in which one party makes a promise in exchange for the other party's performance, becoming binding when the performance is completed.

Shovel Sidewalk

The act of clearing snow and ice from pedestrian paths, often a municipal requirement for property owners during the winter months.