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All Else Equal, a Higher Inflation Rate in the U

Question 1

Multiple Choice

All else equal, a higher inflation rate in the U.S. leads to


A) a decrease in U.S.exports but an increase in U.S.imports.
B) an increase in U.S.exports but a decrease in U.S.imports.
C) an increase in both U.S.exports and imports.
D) a decrease in both U.S.exports and imports.
E) no change in either U.S.exports or imports.

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