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    Macroeconomics Study Set 26
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    Exam 19: Exchange Rates and International Finance
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    In the Era of Floating Exchange Rates,currency Values Relative to Each
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In the Era of Floating Exchange Rates,currency Values Relative to Each

Question 2

Question 2

Multiple Choice

In the era of floating exchange rates,currency values relative to each other are determined by:


A) supply and demand for those currencies.
B) the interest rate gap between countries.
C) changes in inflation rates.
D) all of the above
E) none of the above

Correct Answer:

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