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joanne1718 joanne1718
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5 years ago
If the U.S. interest rate, adjusted for people's expectation of inflation, increases sharply relative to the rest of the world, then

• there will be no change in the demand for dollars in foreign exchange markets but there will be an increase in demand for foreign currency.

• the dollar will appreciate.

• the dollar will depreciate.

• there will be a decrease in the demand for dollars in foreign exchange markets.
Textbook 
Economics Today: The Micro View

Economics Today: The Micro View


Edition: 19th
Author:
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Cass S.Cass S.
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5 years ago
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joanne1718 Author
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5 years ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
zsc999
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Yesterday
Correct Slight Smile TY
jmendoza
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2 hours ago
Good timing, thanks!
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