FIGURE 34-3 -Refer to Figure 34-3.An Increase in Demand or Decrease in Decrease

question 104

Multiple Choice

FIGURE 34-3
-Refer to Figure 34-3.An increase in demand or decrease in the supply of foreign exchange will

• A)encourage Canadians to buy more European goods.
• B)encourage Europeans to buy fewer Canadian goods.
• C)cause the Canadian dollar to appreciate.
• D)cause the Canadian dollar to depreciate.
• E)have no effect on the exchange rate.

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