Usually, a country with a rapid increase in its interest rate also sees
A) depreciation of its currency.
B) appreciation of its currency.
C) no change in the value of its currency.
D) pressure to move to the gold standard.

Question

Quizplus · Accepted Answer

A rapid increase in a country's interest rate typically attracts foreign capital seeking higher returns, leading to an appreciation of its currency as demand for it increases to invest in that country.

Usually, a Country with a Rapid Increase in Its Interest