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If US Experiences a Sudden Surge in Inflation and Surge in in Interest

Question 71

Multiple Choice

If U.S. experiences a sudden surge in inflation and surge in interest rates while Japanese inflation and interest rates remain unchanged, the value of Japanese yen will ____ against the U.S. dollar.


A) appreciate
B) depreciate
C) remain unchanged
D) cannot be determined from the information provided.

Correct Answer:

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