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Which of the Following Statements Is Incorrect

Question 2

Multiple Choice
Which of the following statements is incorrect?

Which of the following statements is incorrect?


A) Central banks often consider adjusting a currency's value to influence economic conditions.
B) If the U.S. central bank wishes to stimulate the economy, it could weaken the dollar.
C) A weaker dollar could cause U.S. inflation by reducing foreign competition.
D) Direct intervention occurs when the central bank influences the factors that determine the dollar's value.

Correct Answer:

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