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Figure 12.3 Market for British Pounds

Question 52

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Figure 12.3 Market for British Pounds
​ Figure 12.3 Market for British Pounds ​ -Consider Figure 12.3.The market is initially governed by demand curve D<sub>0</sub> and supply curve S<sub>0</sub>.Suppose US consumers develop stronger preferences for UK made goods, which supply and demand curves depict the new situation? A) S<sub>1</sub> and D<sub>2</sub> B) S<sub>2</sub> and D<sub>1</sub> C) S<sub>0</sub> and D<sub>2</sub> D) S<sub>0</sub> and D<sub>1</sub>
-Consider Figure 12.3.The market is initially governed by demand curve D0 and supply curve S0.Suppose US consumers develop stronger preferences for UK made goods, which supply and demand curves depict the new situation?


A) S1 and D2
B) S2 and D1
C) S0 and D2
D) S0 and D1

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