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A Lower Real Interest Rate in the United States Relative

Question 93

Multiple Choice

A lower real interest rate in the United States relative to the rest of the world will tend to


A) increase the value of the dollar and increase net exports.
B) decrease the value of the dollar and have an indeterminate effect on net exports.
C) decrease the value of the dollar and increase net exports.
D) increase the value of the dollar and decrease net exports.
E) decrease the value of the dollar and decrease net exports.

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