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Figure 32-7 -Refer to Figure 32-7.Which of the Following Is Consistent with Is

question 24

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Figure 32-7 Figure 32-7   -Refer to Figure 32-7.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 32-7.Which of the following is consistent with capital flight from Mexico?

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