If the European Central Bank increases interest rates,
A) the demand curve for European euros and the demand curve for U.S. dollars both shift rightward.
B) the demand curve for European euros shifts rightward and the supply curve of European euros shifts leftward.
C) only the demand curve for European euros shifts rightward.
D) the demand curve for European euros shifts leftward and the supply curve of European euros shifts rightward.
Correct Answer:
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