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Consider an Economy That Is Greatly Dependent on the U

Question 16

Multiple Choice

Consider an economy that is greatly dependent on the U.S.economy for consumer goods and durables.Inflation will increase in the economy if ________.


A) the dollar appreciates with respect to its own currency
B) the dollar depreciates with respect to its own currency
C) the country adopts the dollar as its official currency
D) the United States goes into a recession

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