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The Large Trade Deficit That the United States Has with China

Question 109

Multiple Choice

The large trade deficit that the United States has with China persists in part because


A) the U.S. economy has grown slowly in recent years.
B) China has fixed its exchange rate to a basket of currencies that includes the dollar, and has not allowed the yuan to appreciate relative to the U.S. dollar.
C) China has experienced rapid economic growth over the past decade.
D) China has recently imposed or increased tariffs on most goods imported from the United States.

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