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Suppose There Is a Real Depreciation of the Dollar

Question 7

Multiple Choice

Suppose there is a real depreciation of the dollar.Which of the following may have occurred?


A) foreign currency has become more expensive in dollars.
B) foreign goods have become more expensive to Americans.
C) the foreign price level has increased relative to the U.S. price level.
D) all of the above
E) none of the above

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