Higher interest rates in the United States will attract foreigners to U.S interest-earning assets. This

Name: Higher interest rates in the United States will attract foreigners to U.S interest-earning assets. This
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Question

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Higher interest rates in the U.S. attract foreign capital, leading to an appreciation of the U.S. dollar. This makes U.S. goods more expensive for foreign buyers, reducing exports, while making foreign goods cheaper for U.S. consumers, increasing imports, thus decreasing net exports.

Higher Interest Rates in the United States Will Attract Foreigners