How Does a Decrease in the Federal Budget Deficit Affect

question 202

Multiple Choice

How does a decrease in the federal budget deficit affect the demand for Canadian dollars and the supply of Canadian dollars on the foreign exchange market?

• A)The demand for Canadian dollars falls, and the supply of Canadian dollars falls.
• B)The demand for Canadian dollars rises, and the supply of Canadian dollars rises.
• C)The demand for Canadian dollars rises, and the supply of Canadian dollars falls.
• D)The demand for Canadian dollars falls, and the supply of Canadian dollars rises.

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Definitions:

Flexion

The action of bending a joint or limb in the body.

Gluteus Medius

A muscle located on the outer surface of the hip, crucial for stabilizing the pelvis and facilitating leg movement.

Biceps Brachii

A muscle located in the upper arm responsible for bending the elbow and rotating the forearm.

External Oblique

A muscle located in the outer layer of the abdomen, responsible for rotating and flexing the trunk of the body.