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If the United States Follows Expansionary Monetary Policy Relative to Japan

Question 35

Multiple Choice

If the United States follows expansionary monetary policy relative to Japan and Germany, which of the following is not likely to occur?


A) U.S. interest rates will rise relative to Japan and Germany
B) a larger U.S. capital account deficit
C) a depreciation of the dollar
D) lower level of U.S. income

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