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The Law of Supply of Foreign Exchange Tells Us That

Question 1

Multiple Choice

The law of supply of foreign exchange tells us that, other things remaining the same,


A) the lower the exchange rate, the greater is the quantity of Canadian dollars supplied.
B) the higher the exchange rate, the greater is the quantity of Canadian dollars supplied.
C) the higher the exchange rate, the greater is the supply of Canadian dollars
D) the lower the exchange rate, the greater is the supply of Canadian dollars.
E) the lower the exchange rate, the smaller is the supply of Canadian dollars.

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