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Which of the Following Is Consistent with an Above-The-Equilibrium Exchange

Question 69

Multiple Choice

Which of the following is consistent with an above-the-equilibrium exchange rate of the dollar?


A) The quantity of dollars supplied is greater than the quantity demanded, and the dollar will appreciate.
B) The quantity of dollars supplied is greater than the quantity demanded, and the dollar will depreciate.
C) The quantity of dollars supplied is less than the quantity demanded, and the dollar will appreciate.
D) The quantity of dollars supplied is less than the quantity demanded, and the dollar will depreciate.

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