During the Second Half of the 1990s,real GDP in the U.S.grew

question 49

Multiple Choice

During the second half of the 1990s,real GDP in the U.S.grew faster than that in most other industrial countries.All other things being equal,supply-and-demand analysis of exchange rates would predict that,in the short run,the U.S.dollar would _____________ relative to the currencies of the other industrialized countries.

• A) appreciate
• B) depreciate
• C) devaluate
• D) revaluate
• E) remain constant