If foreign interest rates are high relative to those in the U.S. demand for dollars will:
A. decrease as investors sell their dollars to buy foreign currency for investment abroad.
B. increase as investors sell their currency to buy dollars for investment.
C. decrease as investors sell their currency to buy dollars for investment.
D. increase as investors sell their dollars to buy foreign currency for investment.
A. decrease as investors sell their dollars to buy foreign currency for investment abroad.
You might also like to view...
Why do policymakers sometimes use policies to limit growth?
What will be an ideal response?
Distinguish the short run from the long run. Generally, what causes costs of production to vary with output in the short run? What generally causes costs of production to vary in the long run?
What will be an ideal response?
To find the average percentage change in quantity demanded,
A. The change in price is divided by the average price. B. The change in quantity demanded is divided by the average quantity. C. The change in quantity demanded is divided by the change in price. D. The change in price is divided by the percentage change in quantity demanded.
The slope of a line parallel to the vertical axis is:
A. zero. B. one. C. infinite. D. one-half.