An increase in the U.S. interest rate relative to the British interest rate will cause a(n) :
A) increase in demand for dollars and an increase in the demand for British pounds.
B) decrease in demand for dollars and an increase in the supply of British pounds.
C) increase in demand for dollars and a reduction in the supply of British pounds.
D) increase in demand for dollars and an increase in the supply of British pounds.
Correct Answer:
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