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Which of the Following Would Lead to an Increase in the Demand

Question 115

Multiple Choice

Which of the following would lead to an increase in the demand for British pounds?


A) A declining interest in British goods
B) A decrease in the U.S.interest rate relative to the British interest rate
C) Expectations that the exchange rate will fall
D) A decrease of the U.S.price level relative to the British price level
E) A decrease in the exchange rate.

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