Multiple Choice
A German company wants to buy dollars to purchase U.S.bonds.In the open-economy macroeconomic model of the U.S. ,this transaction would be accounted for in
A) the supply of currency in the foreign exchange market,and the supply of loanable funds.
B) the supply of currency in the foreign exchange market,and the demand for loanable funds.
C) the demand for currency in the foreign exchange market,and the supply of loanable funds.
D) the demand for currency in the foreign exchange market,and the demand for loanable funds.
Correct Answer:
Verified
Correct Answer:
Verified
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