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The Opponents of Adopting the U

Question 49

Multiple Choice

The opponents of adopting the U.S. dollar for Canada argue that:


A) lower interest rates would have hampered the increase in economic activity.
B) Canadian interest rates would have decreased in recent years to maintain the fixed exchange rate.
C) Canadian monetary policy would be based on the rate of inflation in the U.S.
D) Canadian exports were aided by the increase in the foreign-exchange value of the Canadian dollar during the Asian crisis.

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