Suppose the U

Multiple Choice

Suppose the U.S.economy is producing at the natural rate of output.An appreciation of the U.S.dollar will cause ________ in real GDP in the short run and ________ in the aggregate price level in the short run,everything else held constant.(Assume the appreciation causes no effects in the supply side of the economy.)

A) an increase; an increase
B) a decrease; a decrease
C) no change; an increase
D) no change; a decrease