Multiple Choice
Figure 32-2 
-Refer to Figure 32-2. If the real exchange rate is 1, then there is a
A) surplus of 100 so the real exchange rate will fall.
B) surplus of 100 so the real exchange rate will rise.
C) shortage of 100 so the real exchange rate will fall.
D) shortage of 100 so the real exchange rate will rise.
Correct Answer:
Verified
Correct Answer:
Verified
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