Figure 15-1

-Refer to Figure 15-1.Suppose interest rates in the U.S.rise relative to interest rates in
Foreign countries.This event will
A) decrease the demand for dollars and lower the exchange rate.
B) decrease the supply of dollars and lower the exchange rate.
C) increase the demand for dollars and higher the exchange rate.
D) increase the supply of dollars and lower the exchange rate.
Correct Answer:
Verified
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