Multiple Choice
A rise in the government budget deficit
A) increases the interest rate so in the market for foreign-currency exchange,supply shifts right.
B) increases the interest rate so in the market for foreign-currency exchange,supply shifts left.
C) decreases the interest rate so in the market for foreign-currency exchange,supply shifts left.
D) decreases the interest rate so in the market for foreign-currency exchange supply shifts right.
Correct Answer:
Verified
Correct Answer:
Verified
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