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Figure: Exchange Rate Shifts
-(Figure: Exchange Rate Shifts)When demand for U.S.goods increases,the demand curve will shift from _____ to _____ and the exchange rate will shift from _____ to _____.

Question

Use the following to answer questions 
Figure: Exchange Rate Shifts 
-(Figure: Exchange Rate Shifts)When demand for U.S.goods increases,the demand curve will shift from _____ to _____ and the exchange rate will shift from _____ to _____.

Quizplus · Accepted Answer

When demand for U.S. goods increases, the demand curve shifts from D₀ to D₁, leading to an increase in the exchange rate from e₀ to e₁.

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