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What Is the Relationship Between an Increase in Money Supply

Question 194

Multiple Choice

What is the relationship between an increase in money supply and net exports?


A) A monetary expansion leads to a depreciation of the home currency,and a decrease in net exports.
B) A monetary expansion leads to a depreciation of the home currency,and an increase in net exports.
C) A monetary expansion leads to an appreciation of the home currency,and a decrease in net exports.
D) A monetary expansion leads to an appreciation of the home currency,and an increase in net exports.

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