Relatively high interest rates in the United States causes the dollar to ____ in the ____.
A) Appreciate,long run
B) Depreciate,long run
C) Appreciate,short run
D) Depreciate,short run

Name: Relatively high interest rates in the United States causes the dollar to ____ in the ____. A) Appreciate,long run B) Depreciate,long run C) Appreciate,short run D) Depreciate,short run
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Question

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High interest rates attract foreign capital, increasing demand for the dollar, causing it to appreciate in the short run.

Relatively High Interest Rates in the United States Causes the Dollar