Which of the following could result from a balance-of-trade deficit?

a. The value of the dollar increases, so Americans can buy more goods from other countries for the same amount of money.
b. The value of the dollar declines, so Americans have to pay more for goods from other nations.
c. The value of the dollar increases, making American products cheaper abroad, thereby increasing our exports.
d. The value of the dollar declines, which makes American products more expensive abroad, thereby decreasing our exports.


b

Political Science

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