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The Accompanying Diagram Represents a Flexible Exchange Market for Foreign

Question 110

Multiple Choice

  The accompanying diagram represents a flexible exchange market for foreign currency. Other things equal, a rightward shift of the demand curve would A) depreciate the dollar. B) appreciate the dollar. C) reduce the equilibrium quantity of euros. D) depreciate the euro. The accompanying diagram represents a flexible exchange market for foreign currency. Other things equal, a rightward shift of the demand curve would


A) depreciate the dollar.
B) appreciate the dollar.
C) reduce the equilibrium quantity of euros.
D) depreciate the euro.

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