If interest rates in Canada fall relative to interest rates in the US, net capital flows into Canada will
________, causing the supply of US dollars on the Canadian foreign exchange market to ________ and the demand for US dollars to _______.
A) increase, decrease, rise
B) decrease, increase, fall
C) decrease, decrease, rise
D) increase, decrease, fall

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The Answer of If interest rates in Canada fall relative to interest rates in the US, net capital flows into Canada will
________, causing the supply of US dollars on the Canadian foreign exchange market to ________ and the demand for US dollars to _______.
A) increase, decrease, rise
B) decrease, increase, fall
C) decrease, decrease, rise
D) increase, decrease, fall

If Interest Rates in Canada Fall Relative to Interest Rates