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Figure 32-3 -Refer to Figure 32-3. Which of the Following Is Consistent

question 111

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Figure 32-3 Figure 32-3   -Refer to Figure 32-3. Which of the following is consistent with capital flight from Mexico? A) The real exchange rate of the peso appreciates from E<sub>0</sub> to E<sub>1</sub>. B) The real exchange rate of the peso depreciates from E<sub>0</sub> to E<sub>1</sub>. C) The real exchange rate of the peso appreciates from E<sub>1</sub> to E<sub>0</sub>. D) The real exchange rate of the peso depreciates from E<sub>1</sub> to E<sub>0</sub>.
-Refer to Figure 32-3. Which of the following is consistent with capital flight from Mexico?


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