-Refer to Figure 17-3 Above Figure,where the Current Demand Curve

question 31

Multiple Choice

-Refer to Figure 17-3 above figure,where the current demand curve is D₁.Suppose interest rates in England drop relative to those in the United States.Which of the following would happen?

• A) The U.S.would move from point A to point B along D₁.
• B) The U.S.demand curve for British pounds would shift from D₁ to D₂
• C) The U.S.demand curve for British pounds would shift from D₁ to D₃
• D) The U.S.would move from point A to point C along D₁.
• E) The U.S.would move from point C to point B along D₁.

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