Consider the currency market for British pounds and U.S. dollars. An increase in the supply of British pounds:
A) Results in an appreciation of the pound and a depreciation of the dollar
B) Results in a depreciation of the pound and a depreciation of the dollar
C) Is equivalent to an increase in the demand for the U.S. dollar
D) Is equivalent to a decrease in the demand for the U.S. dollar
Correct Answer:
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