In the Open-Economy Macroeconomic Model,if the Supply of Loanable Funds

question 34

Multiple Choice

In the open-economy macroeconomic model,if the supply of loanable funds shifts left

• A)the interest rate rises and the supply of dollars in the market for foreign currency exchange shifts right.
• B)the interest rate rises and the supply of dollars in the market for foreign currency exchange shifts left.
• C)the interest rate falls and the demand for dollars in the market for foreign currency exchange shifts right.
• D)the interest rate falls and the demand for dollars in the market for foreign currency exchange shifts left.

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Definitions:

TRIN Ratio

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Market Breadth

An indicator used to gauge the direction of the overall stock market by analyzing the number of companies advancing versus those declining.

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