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The Rapid Depreciation of the Dollar in the Late 1980s

Question 43

Multiple Choice

The rapid depreciation of the dollar in the late 1980s


A) eliminated the trade deficit.
B) led to steady improvement in the trade deficit after 1984.
C) coincided with steady improvement in the trade deficit apart from a slight decrease in net exports in 1986.
D) brought the real trade-weighted value of the dollar well below its 1980 level.
E) none of the above.

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