If the rate of growth of U.S. productivity is higher than the rates of growth of productivity in most other countries,
A) the prices of U.S. goods will fall relative to foreign goods.
B) the prices of U.S. goods will rise relative to foreign goods.
C) the U.S. real exchange rate will depreciate.
D) the cost of producing U.S. goods will rise faster than the cost of producing foreign goods.
Correct Answer:
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