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Suppose the Value of the Thai Baht Decreases Substantially in Value

Question 7

Multiple Choice

Suppose the value of the Thai Baht decreases substantially in value compared to the Canadian dollar. What is the likely result?


A) Thai imports from Canada will decrease but exports to Canada will increase.
B) Thai imports from Canada will increase and so will exports to Canada.
C) Thai imports from Canada will decrease and so will exports to Canada.
D) Thai imports from Canada will increase but exports to Canada will decrease.

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