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    Business
  3. Study Set
    Macroeconomics Study Set 68
  4. Exam
    Exam 21: The Balance of Payments, Exchange Rates, and Trade Deficits
  5. Question
    To Keep the Exchange Rate Constant, an Increase in the Demand
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To Keep the Exchange Rate Constant, an Increase in the Demand

Question 65

Question 65

True/False

To keep the exchange rate constant, an increase in the demand for a country's currency should be
matched by a corresponding increase in supply to be administered by the government.

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