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If Currencies Around the World Are Based on the Gold

Question 2

Multiple Choice

If currencies around the world are based on the gold standard,and Japan raises the amount of gold for which the yen will trade,then holding all else constant


A) the yen will depreciate against the dollar.
B) the yen will appreciate against the dollar.
C) the value of the yen relative to the dollar will stay constant.
D) U.S.exports to Japan will decrease.

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