A decrease in tastes for European goods in the U.S. would ____ the demand for Euros, ____ the equilibrium price (exchange value) of Euros.

Question

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A decrease in tastes for European goods in the U.S. would lead to a decrease in demand for Euros, as Americans would be less inclined to buy European products. This decreased demand for Euros would, in turn, decrease the equilibrium price (exchange value) of Euros, as there would be less competition for purchasing them.

A Decrease in Tastes for European Goods in the U