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Everything Else Being Equal,an Appreciation of the Dollar Against the Yuan

Question 25

Multiple Choice

Everything else being equal,an appreciation of the dollar against the yuan ________.


A) will not affect the quantity of dollars supplied in the foreign exchange market
B) will lead to an increase in the quantity of dollars supplied in the foreign exchange market
C) will lead to a decrease in the quantity of dollars supplied in the foreign exchange market
D) can either lead to an increase or a decrease in the quantity of dollars demanded depending on the magnitude of the appreciation

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