One Unpleasant Cure for the U

Multiple Choice

One unpleasant cure for the U.S.trade deficit of the 1990s would be for foreigners who hold U.S.financial assets to demand

A) lower interest rates to stimulate U.S.growth rates.
B) higher interest rates and generate a recession in the United States.
C) higher interest rates and generate an appreciation of the dollar.
D) lower interest rates and generate a depreciation of the dollar.