Which of the following shifts the supply curve of Canadian dollars rightward?
A)U.S.interest rates fall.
B)Canadian interest rates rise.
C)The dollar is expected to appreciate.
D)A decrease in the demand for Canadian goods by foreigners
E)An increase in the demand for foreign goods by Canadians

Question

Quizplus · Accepted Answer

An increase in the demand for foreign goods by Canadians would lead to more Canadians exchanging their dollars for foreign currency, increasing the supply of Canadian dollars in the foreign exchange market, thus shifting the supply curve rightward.

Which of the Following Shifts the Supply Curve of Canadian